10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

Form 10-Q

☑    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2022

OR

☐    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from         to        

Commission file number 001-32876

TRAVEL + LEISURE CO.

(Exact Name of Registrant as Specified in Its Charter)

Delaware		20-0052541
(State or Other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)
6277 Sea Harbor Drive		32821
Orlando,	Florida	(Zip Code)
(Address of Principal Executive Offices)

(407) 626-5200

(Registrant’s Telephone Number, Including Area Code)

None

(Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Common Stock, $0.01 par value per share	TNL	New York Stock Exchange

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes ☑     No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☑    No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☑	Accelerated filer	☐
Non-accelerated filer	☐
		Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes ☐    No ☑

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:

83,824,510 shares of common stock outstanding as of June 30, 2022.

Table of Contents

		Page
PART I	FINANCIAL INFORMATION
Item 1.	Condensed Consolidated Financial Statements (Unaudited)	3
	Report of Independent Registered Public Accounting Firm	3
	Condensed Consolidated Statements of Income	4
	Condensed Consolidated Statements of Comprehensive Income	5
	Condensed Consolidated Balance Sheets	6
	Condensed Consolidated Statements of Cash Flows	7
	Condensed Consolidated Statements of Deficit	8
	Notes to Condensed Consolidated Financial Statements	10
	Note 1 - Background and Basis of Presentation	10
	Note 2 - New Accounting Pronouncements	10
	Note 3 - Revenue Recognition	11
	Note 4 - Earnings Per Share	15
	Note 5 - Acquisitions	16
	Note 6 - Discontinued Operations	16
	Note 7 - Vacation Ownership Contract Receivables	16
	Note 8 - Inventory	19
	Note 9 - Property and Equipment	20
	Note 10 - Debt	20
	Note 11 - Variable Interest Entities	22
	Note 12 - Fair Value	23
	Note 13 - Derivative Instruments and Hedging Activities	24
	Note 14 - Income Taxes	25
	Note 15 - Leases	25
	Note 16 - Commitments and Contingencies	27
	Note 17 - Accumulated Other Comprehensive (Loss)/Income	28
	Note 18 - Stock-Based Compensation	29
	Note 19 - Segment Information	31
	Note 20 - COVID-19 Related Items	33
	Note 21 - Restructuring	34
	Note 22 - Transactions with Former Parent and Former Subsidiaries	35
	Note 23 - Related Party Transactions	36
	Note 24 - Subsequent Event	37
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	38
	Forward-Looking Statements	38
Item 3.	Quantitative and Qualitative Disclosures About Market Risks	52
Item 4.	Controls and Procedures	52
PART II	OTHER INFORMATION
Item 1.	Legal Proceedings	53
Item 1A.	Risk Factors	53
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	53
Item 3.	Defaults Upon Senior Securities	53
Item 4.	Mine Safety Disclosures	53
Item 5.	Other Information	53
Item 6.	Exhibits	54
	Signatures	55

1

GLOSSARY OF TERMS

The following terms and acronyms appear in the text of this report and have the definitions indicated below:

Adjusted EBITDA	A non-GAAP measure, defined by the Company as Net income from continuing operations before Depreciation and amortization, Interest expense (excluding Consumer financing interest), early extinguishment of debt, Interest income (excluding Consumer financing revenues) and income taxes. Adjusted EBITDA also excludes stock-based compensation costs, separation and restructuring costs, legacy items, transaction costs for acquisitions and divestitures, impairments, gains and losses on sale/disposition of business, and items that meet the conditions of unusual and/or infrequent. Legacy items include the resolution of and adjustments to certain contingent assets and liabilities related to acquisitions of continuing businesses and dispositions, including the separation of Wyndham Hotels & Resorts, Inc. and Cendant, and the sale of the vacation rentals businesses.
AOCL	Accumulated Other Comprehensive Loss
AUD	Australian Dollar
Awaze	Awaze Limited, formerly Compass IV Limited, an affiliate of Platinum Equity, LLC
Company	Travel + Leisure Co. and its subsidiaries
COVID-19	Novel coronavirus global pandemic
EPS	Earnings Per Share
FASB	Financial Accounting Standards Board
First Amendment	The first amendment to the Company’s credit agreement governing its revolving credit facility and term loan B entered on July 15, 2020
GAAP	Generally Accepted Accounting Principles in the United States
LIBOR	London Interbank Offered Rate
NQ	Non-Qualified stock options
NZD	New Zealand Dollar
PSU	Performance-vested restricted Stock Units
Relief Period	Relief period of the First Amendment, spanning from July 15, 2020 through April 1, 2022, or upon earlier termination by the Company
RSU	Restricted Stock Unit
S&P	Standard & Poor’s Rating Services
SEC	Securities and Exchange Commission
Second Amendment	The renewal of the Company’s credit agreement governing its revolving credit facility and term loan B entered on October 22, 2021
SPE	Special Purpose Entity
Spin-off	Spin-off of Wyndham Hotels & Resorts, Inc.
SSAR	Stock-Settled Appreciation Rights
Travel + Leisure Co.	Travel + Leisure Co. and its subsidiaries
Vacasa	Vacasa LLC
VIE	Variable Interest Entity
VOCR	Vacation Ownership Contract Receivable
VOI	Vacation Ownership Interest
VPG	Volume Per Guest
Wyndham Hotels	Wyndham Hotels & Resorts, Inc.

2

PART I — FINANCIAL INFORMATION

Item 1. Condensed Consolidated Financial Statements (Unaudited).

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Stockholders and Board of Directors of Travel + Leisure Co.

Results of Review of Interim Financial Statements

We have reviewed the accompanying condensed consolidated balance sheet of Travel + Leisure Co. and subsidiaries (the "Company") as of June 30, 2022, the related condensed consolidated statements of income, comprehensive income and deficit for the three-month and six-month periods ended June 30, 2022 and 2021, and the cash flows for the six-month periods ended June 30, 2022 and 2021, and the related notes (collectively referred to as the "interim financial statements"). Based on our reviews, we are not aware of any material modifications that should be made to the accompanying interim financial statements for them to be in conformity with accounting principles generally accepted in the United States of America.

We have previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated balance sheet of the Company as of December 31, 2021, and the related consolidated statements of income/(loss), comprehensive income/(loss), cash flows and deficit for the year then ended (not presented herein); and in our report dated February 23, 2022, we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying condensed consolidated balance sheet as of December 31, 2021, is fairly stated, in all material respects, in relation to the consolidated balance sheet from which it has been derived.

Basis for Review Results

The interim financial statements are the responsibility of the Company's management. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our reviews in accordance with standards of the PCAOB. A review of interim financial statements consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with the standards of the PCAOB, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

/s/ Deloitte & Touche LLP

Tampa, FL

July 28, 2022

3

TRAVEL + LEISURE CO.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In millions, except per share amounts)

(Unaudited)

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Net revenues
Service and membership fees	$	410	$	388	$	812	$	736
Vacation ownership interest sales	400		294		697		466
Consumer financing	99		102		198		201
Other	13		13		24		22
Net revenues	922		797		1,731		1,425
Expenses
Operating	404		349		785		639
Cost of vacation ownership interests	46		41		86		62
Consumer financing interest	17		20		34		44
General and administrative	121		112		241		218
Marketing	119		92		213		161
Depreciation and amortization	31		31		61		63
Restructuring	1		—		8		(1)
COVID-19 related costs	—		1		2		2
Asset recoveries, net	(2)		—		(1)		—
Total expenses	737		646		1,429		1,188
Operating income	185		151		302		237
Interest expense	47		47		94		100
Other expense/(income), net	7		—		4		(1)
Interest (income)	(1)		(1)		(2)		(1)
Income before income taxes	132		105		206		139
Provision for income taxes	32		31		55		37
Net income from continuing operations	100		74		151		102
Loss on disposal of discontinued business, net of income taxes	—		(2)		—		(2)
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Basic earnings per share
Continuing operations	$	1.17	$	0.85	$	1.76	$	1.18
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.17	$	0.83	$	1.76	$	1.16
Diluted earnings per share
Continuing operations	$	1.16	$	0.84	$	1.75	$	1.17
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.16	$	0.82	$	1.75	$	1.15

See Notes to Condensed Consolidated Financial Statements.

4

TRAVEL + LEISURE CO.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In millions)

(Unaudited)

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Foreign currency translation adjustments, net of tax	(33)		2		(30)		(11)
Other comprehensive (loss)/income, net of tax	(33)		2		(30)		(11)
Comprehensive income	$	67	$	74	$	121	$	89

See Notes to Condensed Consolidated Financial Statements.

5

TRAVEL + LEISURE CO.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In millions, except share data)

(Unaudited)

	June 30, 2022		December 31, 2021
Assets
Cash and cash equivalents	$	241	$	369
Restricted cash (VIE - $83 as of 2022 and $84 as of 2021)	137		128
Trade receivables, net	142		131
Vacation ownership contract receivables, net (VIE - $1,992 as of 2022 and $2,061 as of 2021)	2,304		2,309
Inventory	1,192		1,216
Prepaid expenses	211		227
Property and equipment, net	730		689
Goodwill	955		961
Other intangibles, net	213		219
Other assets	352		339
Total assets	$	6,477	$	6,588
Liabilities and (deficit)
Accounts payable	$	70	$	62
Accrued expenses and other liabilities	941		939
Deferred income	391		382
Non-recourse vacation ownership debt (VIE)	1,842		1,934
Debt	3,379		3,379
Deferred income taxes	700		686
Total liabilities	7,323		7,382
Commitments and contingencies (Note 16)
Stockholders' (deficit):
Preferred stock, $0.01 par value, authorized 6,000,000 shares, none issued and outstanding	—		—
Common stock, $0.01 par value, 600,000,000 shares authorized, 222,726,725 issued as of 2022 and 222,250,970 as of 2021	2		2
Treasury stock, at cost – 138,847,397 shares as of 2022 and 136,320,631 shares as of 2021	(6,663)		(6,534)
Additional paid-in capital	4,217		4,192
Retained earnings	1,668		1,587
Accumulated other comprehensive loss	(78)		(48)
Total stockholders’ (deficit)	(854)		(801)
Noncontrolling interest	8		7
Total (deficit)	(846)		(794)
Total liabilities and (deficit)	$	6,477	$	6,588

See Notes to Condensed Consolidated Financial Statements.

6

TRAVEL + LEISURE CO.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions)

(Unaudited)

	Six Months Ended
	June 30,
	2022		2021
Operating activities
Net income	$	151	$	100
Loss on disposal of discontinued business, net of income taxes	—		2
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan losses	125		71
Depreciation and amortization	61		63
Stock-based compensation	24		16
Deferred income taxes	16		(19)
Non-cash interest	10		12
Non-cash lease expense	8		8
Asset recoveries, net	(1)		—
Other, net	17		3
Net change in assets and liabilities, excluding the impact of acquisitions and dispositions:
Trade receivables	(11)		4
Vacation ownership contract receivables	(128)		90
Inventory	(8)		(40)
Accounts payable, accrued expenses, prepaid expenses, other assets and other liabilities	(41)		14
Deferred income	7		(34)
Net cash provided by operating activities	230		290
Investing activities
Property and equipment additions	(24)		(25)
Purchase of investments	(6)		—
Acquisitions	—		(37)
Other, net	1		—
Net cash used in investing activities	(29)		(62)
Financing activities
Proceeds from non-recourse vacation ownership debt	655		709
Principal payments on non-recourse vacation ownership debt	(742)		(922)
Proceeds from debt	—		10
Principal payments on debt	(4)		(560)
Repayment of notes	(2)		(252)
Repurchase of common stock	(127)		—
Dividends to shareholders	(70)		(53)
Payment of deferred acquisition consideration	(19)		(20)
Net share settlement of incentive equity awards	(6)		(9)
Debt issuance/modification costs	(6)		(8)
Proceeds from issuance of common stock	6		7
Net cash used in financing activities	(315)		(1,098)
Effect of changes in exchange rates on cash, cash equivalents and restricted cash	(5)		(1)
Net change in cash, cash equivalents and restricted cash	(119)		(871)
Cash, cash equivalents and restricted cash, beginning of period	497		1,317
Cash, cash equivalents and restricted cash, end of period	378		446
Less: Restricted cash	137		118
Cash and cash equivalents	$	241	$	328

See Notes to Condensed Consolidated Financial Statements.

7

TRAVEL + LEISURE CO.

CONDENSED CONSOLIDATED STATEMENTS OF DEFICIT

(In millions)

(Unaudited)

	Common Shares Outstanding	Common Stock		Treasury Stock		Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Non-controlling Interest		Total Deficit
Balance as of December 31, 2021	85.9	$	2	$	(6,534)	$	4,192	$	1,587	$	(48)	$	7	$	(794)
Net income	—	—		—		—		51		—		—		51
Other comprehensive income	—	—		—		—		—		3		—		3
Issuance of shares for RSU vesting	0.3	—		—		—		—		—		—		—
Net share settlement of stock-based compensation	—	—		—		(5)		—		—		—		(5)
Change in stock-based compensation	—	—		—		12		—		—		—		12
Repurchase of common stock	(0.8)	—		(45)		—		—		—		—		(45)
Dividends ($0.40 per share)	—	—		—		—		(35)		—		—		(35)
Non-controlling interest ownership change	—	—		—		—		—		—		1		1
Other	—	—		—		1		—		—		—		1
Balance as of March 31, 2022	85.4	2		(6,579)		4,200		1,603		(45)		8		(811)
Net income	—	—		—		—		100		—		—		100
Other comprehensive loss	—	—		—		—		—		(33)		—		(33)
Issuance of shares for RSU vesting	0.1	—		—		—		—		—		—		—
Net share settlement of stock-based compensation	—	—		—		(1)		—		—		—		(1)
Employee stock purchase program issuances	0.1	—		—		5		—		—		—		5
Change in stock-based compensation	—	—		—		12		—		—		—		12
Repurchase of common stock	(1.7)	—		(83)		—		—		—		—		(83)
Dividends ($0.40 per share)	—	—		—		—		(35)		—		—		(35)
Other	—	—		(1)		1		—		—		—		—
Balance as of June 30, 2022	83.9	$	2	$	(6,663)	$	4,217	$	1,668	$	(78)	$	8	$	(846)

See Notes to Condensed Consolidated Financial Statements.

8

TRAVEL + LEISURE CO.

CONDENSED CONSOLIDATED STATEMENTS OF DEFICIT

(In millions)

(Unaudited)

	Common Shares Outstanding	Common Stock		Treasury Stock		Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Non-controlling Interest		Total Deficit
Balance as of December 31, 2020	85.9	$	2	$	(6,508)	$	4,157	$	1,390	$	(16)	$	7	$	(968)
Net income	—	—		—		—		29		—		—		29
Other comprehensive loss	—	—		—		—		—		(13)		—		(13)
Stock option exercises	0.1	—		—		3		—		—		—		3
Issuance of shares for RSU vesting	0.2	—		—		—		—		—		—		—
Net share settlement of stock-based compensation	—	—		—		(7)		—		—		—		(7)
Change in stock-based compensation	—	—		—		7		—		—		—		7
Dividends ($0.30 per share)	—	—		—		—		(27)		—		—		(27)
Balance as of March 31, 2021	86.2	2		(6,508)		4,160		1,392		(29)		7		(976)
Net income	—	—		—		—		72		—		—		72
Other comprehensive income	—	—		—		—		—		2		—		2
Issuance of shares for RSU vesting	0.1	—		—		—		—		—		—		—
Stock option exercises	—	—		—		1		—		—		—		1
Net share settlement of stock-based compensation	—	—		—		(2)		—		—		—		(2)
Employee stock purchase program issuances	0.1	—		—		3		—		—		—		3
Change in stock-based compensation	—	—		—		9		—		—		—		9
Dividends ($0.30 per share)	—	—		—		—		(27)		—		—		(27)
Balance as of June 30, 2021	86.4	$	2	$	(6,508)	$	4,171	$	1,437	$	(27)	$	7	$	(918)

See Notes to Condensed Consolidated Financial Statements.

9

TRAVEL + LEISURE CO.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unless otherwise noted, all amounts are in millions, except share and per share amounts)

(Unaudited)

1.    Background and Basis of Presentation

Background

Travel + Leisure Co. and its subsidiaries (collectively, “Travel + Leisure Co.,” or the “Company”) is a global provider of hospitality services and travel products. The Company has two reportable segments: Vacation Ownership and Travel and Membership.

The Vacation Ownership segment develops, markets, and sells vacation ownership interests (“VOIs”) to individual consumers, provides consumer financing in connection with the sale of VOIs, and provides property management services at resorts. This segment is wholly comprised of the Wyndham Destinations business line. The following brands operate under the Wyndham Destinations business line: Club Wyndham, WorldMark by Wyndham, Shell Vacations Club, Margaritaville Vacation Club by Wyndham, Presidential Reserve by Wyndham, and Extra Holidays. Due to changes in organizational structure in the second quarter of 2022, the management of Extra Holidays was transitioned to the Vacation Ownership segment. As such, the Company reclassified the results of Extra Holidays, which was previously reported within the Travel and Membership segment, into the Vacation Ownership segment. Prior period segment information has been updated to reflect this change.

The Travel and Membership segment operates a variety of travel businesses, including three vacation exchange brands, a home exchange network, travel technology platforms, travel memberships, and direct-to-consumer rentals. This segment is comprised of the Panorama and Travel + Leisure Group business lines. The following brands operate under the Panorama business line: RCI, Panorama Travel Solutions, Alliance Reservations Network (“ARN”), 7Across, The Registry Collection, and Love Home Swap. The Travel + Leisure Group operates Travel + Leisure GO and Travel + Leisure Travel Clubs.

Basis of Presentation

The accompanying unaudited Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q include the accounts and transactions of Travel + Leisure Co., as well as the entities in which Travel + Leisure Co. directly or indirectly has a controlling financial interest. The accompanying Condensed Consolidated Financial Statements have been prepared in accordance with Generally Accepted Accounting Principles in the U.S. (“GAAP”). All intercompany balances and transactions have been eliminated in the Condensed Consolidated Financial Statements. In addition, prior period segment results have been updated to reflect the aforementioned reclassification of the Extra Holidays business into the Vacation Ownership segment.

The Company presents an unclassified balance sheet which conforms to that of the Company’s peers and industry practice.

In presenting the Condensed Consolidated Financial Statements, management makes estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosures. Estimates, by their nature, are based on judgment and available information. Accordingly, actual results could differ from those estimates and assumptions. In management’s opinion, the Condensed Consolidated Financial Statements contain all normal recurring adjustments necessary for a fair presentation of interim results reported. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These Condensed Consolidated Financial Statements should be read in conjunction with the Company’s 2021 Consolidated Financial Statements included in its Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 23, 2022.

2.    New Accounting Pronouncements

Recently Issued Accounting Pronouncements

Contract Assets and Contract Liabilities from Contracts with Customers Acquired in a Business Combination. In October 2021, the Financial Accounting Standards Board (“FASB”) issued guidance which requires companies to apply Accounting Standards Codification (“ASC”) 606 to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination. This creates an exception to the general recognition and measurement principle in ASC 805. This generally will result in companies recognizing contract assets and contract liabilities at amounts consistent with those recorded by the acquiree immediately before the acquisition date. This guidance is effective for fiscal

10

years beginning after December 15, 2022, including interim periods within those fiscal years. The amendments should be applied prospectively to business combinations occurring on or after the effective date. Early adoption is permitted. As this guidance would only be applicable to future business combinations, the Company is currently unable to determine the impact of adopting this guidance.

Government Assistance. In November 2021, the FASB issued guidance which requires business entities to provide certain disclosures when they have received government assistance and used a grant or contribution accounting model by analogy to other accounting guidance. The guidance is effective for financial statements issued for annual periods beginning after December 15, 2021. The adoption of this guidance is not expected to have a material impact on the Company’s Consolidated Financial Statements or related disclosures.

3.    Revenue Recognition

Vacation Ownership

The Company develops, markets, and sells VOIs to individual consumers, provides consumer financing in connection with the sale of VOIs, and provides property management services at resorts. The Company’s sales of VOIs are either cash sales or developer-financed sales. Developer-financed sales are typically collateralized by the underlying VOI. Revenue is recognized on VOI sales upon transfer of control, which is defined as the point in time when a binding sales contract has been executed, the financing contract has been executed for the remaining transaction price, the statutory rescission period has expired, and the transaction price has been deemed to be collectible.

For developer-financed sales, the Company reduces the VOI sales transaction price by an estimate of uncollectible consideration at the time of the sale. The Company’s estimates of uncollectible amounts are based largely on the results of the Company’s static pool analysis which relies on historical payment data by customer class.

In connection with entering into a VOI sale, the Company may provide its customers with certain non-cash incentives, such as credits for future stays at its resorts. For those VOI sales, the Company bifurcates the sale and allocates the sales price between the VOI sale and the non-cash incentive. Non-cash incentives generally have expiration periods of 18 months or less and are recognized at a point in time upon transfer of control.

The Company provides day-to-day property management services including oversight of housekeeping services, maintenance, and certain accounting and administrative services for property owners’ associations and clubs. These services may also include reservation and resort renovation activities. Such agreements are generally for terms of one year or less and are renewed automatically on an annual basis. The Company’s management agreements contain cancellation clauses, which allow for either party to cancel the agreement, by either a majority board vote or a majority vote of non-developer interests. The Company receives fees for such property management services which are collected monthly in advance and are based upon total costs to operate such resorts (or as services are provided in the case of resort renovation activities). Fees for property management services typically approximate 10% of budgeted operating expenses. The Company is entitled to consideration for reimbursement of costs incurred on behalf of the property owners’ association in providing management services (“reimbursable revenue”). These reimbursable costs principally relate to the payroll costs for management of the associations, club and resort properties where the Company is the employer and are reflected as a component of Operating expenses on the Condensed Consolidated Statements of Income. The Company reduces its management fees for amounts it has paid to the property owners’ association that reflect maintenance fees for VOIs for which it retains ownership, as the Company has concluded that such payments are consideration payable to a customer.

Property management fee revenues are recognized when the services are performed and are recorded as a component of Service and membership fees on the Condensed Consolidated Statements of Income. Property management revenues, which are comprised of management fee revenue and reimbursable revenue were (in millions) (a):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Management fee revenues	$	106	$	96	$	207	$	188
Reimbursable revenues	83		70		167		139
Property management revenues	$	189	$	166	$	374	$	327

(a)Reflects the impact of reclassifying the Extra Holidays business line from the Travel and Membership segment to the Vacation Ownership segment.

11

One of the associations that the Company manages paid its Travel and Membership segment $9 million and $7 million for exchange services during the three months ended June 30, 2022 and 2021, and $17 million and $14 million during the six months ended June 30, 2022 and 2021.

Travel and Membership

Travel and Membership derives a majority of its revenues from membership dues and fees for facilitating members’ trading of their intervals. Revenues from membership dues represent the fees paid by members or affiliated clubs on their behalf. The Company recognizes revenues from membership dues paid by the member on a straight-line basis over the membership period as the performance obligations are fulfilled through delivery of publications, if applicable, and by providing access to travel-related products and services. Estimated net contract consideration payable by affiliated clubs for memberships is recognized as revenue over the term of the contract with the affiliated club in proportion to the estimated average monthly member count. Such estimates are adjusted periodically for changes in the actual and forecasted member activity. For additional fees, members have the right to exchange their intervals for intervals at other properties affiliated with the Company’s vacation exchange networks and, for certain members, for other leisure-related services and products. The Company also derives revenue from facilitating bookings of travel accommodations for Travel Club members. Revenue is recognized when these transactions have been confirmed, net of expected cancellations, except in certain transactions where the Company has a performance obligation that is not satisfied until the time of stay.

As a provider of vacation exchange services, the Company enters into affiliation agreements with developers of vacation ownership properties to allow owners of VOIs to trade their intervals for intervals at other properties affiliated with the Company’s vacation exchange network and, for some members, for other leisure-related services and products.

The Company’s vacation exchange business also derives revenues from programs with affiliated resorts, club servicing, and loyalty programs; and additional exchange-related products that provide members with the ability to protect trading power or points, extend the life of deposits, and combine two or more deposits for the opportunity to exchange into intervals with higher trading power. Other vacation exchange related product fees are deferred and recognized as revenue upon the occurrence of a future exchange, event, or other related transaction.

The Company earns revenue from its RCI Elite Rewards co–branded credit card program, which is primarily generated by cardholder spending and the enrollment of new cardholders. The advance payments received under the program are recognized as a contract liability until the Company’s performance obligations have been satisfied. The primary performance obligation for the program relates to brand performance services. Total contract consideration is estimated and recognized on a straight-line basis over the contract term.

Other Items

The Company records property management services revenues for its Vacation Ownership segment and RCI Elite Rewards revenues for its Travel and Membership segments gross as a principal.

Contract Liabilities

Contract liabilities generally represent payments or consideration received in advance for goods or services that the Company has not yet transferred to the customer. Contract liabilities as of June 30, 2022 and December 31, 2021, were as follows (in millions):

	June 30, 2022		December 31, 2021
Deferred subscription revenue	$	169	$	166
Deferred VOI trial package revenue	88		85
Deferred VOI incentive revenue	60		55
Deferred exchange-related revenue (a)	59		61
Deferred co-branded credit card programs revenue	10		12
Deferred other revenue	5		3
Total	$	391	$	382

(a)Includes contractual liabilities to accommodate members for cancellations initiated by the Company due to unexpected events. These amounts are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

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In the Company’s Vacation Ownership business, deferred VOI trial package revenue represents consideration received in advance for a trial VOI, which allows customers to utilize a vacation package typically within one year of purchase. Deferred VOI incentive revenue represents payments received in advance for additional travel-related services and products at the time of a VOI sale. Revenue is recognized when a customer utilizes the additional services and products, which is typically within one year of the VOI sale.

Within the Company’s Travel and Membership business, deferred subscription revenue represents billings and payments received in advance from members and affiliated clubs for memberships in the Company’s travel programs which are recognized in future periods. Deferred revenue primarily represents payments received in advance from members for the right to access the Company’s vacation travel network to book vacation exchanges and rent travel accommodations which are recognized on a straight-line basis over the contract period, generally within one year. Deferred revenue also includes other leisure-related service and product revenues which are recognized as customers utilize the associated benefits.

Changes in contract liabilities follow (in millions):

	Six Months Ended
	June 30,
	2022		2021
Beginning balance	$	382	$	448
Additions	153		145
Revenue recognized	(144)		(174)
Ending balance	$	391	$	419

Capitalized Contract Costs

The Vacation Ownership segment incurs certain direct and incremental selling costs in connection with VOI trial package and incentive revenues. Such costs are capitalized and subsequently amortized over the utilization period, which is typically within one year of the sale. As of June 30, 2022 and December 31, 2021, these capitalized costs were $29 million and $28 million and are included within Other assets on the Condensed Consolidated Balance Sheets.

The Travel and Membership segment incurs certain direct and incremental selling costs to obtain contracts with customers in connection with subscription revenues and exchange–related revenues. Such costs, which are primarily comprised of commissions paid to internal and external parties and credit card processing fees, are deferred at the inception of the contract and recognized when the benefit is transferred to the customer. As of June 30, 2022 and December 31, 2021, these capitalized costs were $18 million and $19 million; and are included within Other assets on the Condensed Consolidated Balance Sheets.

Practical Expedients

The Company has not adjusted the consideration for the effects of a significant financing component if it expected, at contract inception, that the period between when the Company will satisfy the performance obligation and when the customer will pay for that good or service will be one year or less.

Performance Obligations

A performance obligation is a promise in a contract with a customer to transfer a distinct good or service to the customer. The consideration received from a customer is allocated to each distinct performance obligation and recognized as revenue when, or as, each performance obligation is satisfied.

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The following table summarizes the Company’s remaining performance obligations for the 12-month periods set forth below (in millions):

	7/1/2022 - 6/30/2023		7/1/2023 - 6/30/2024		7/1/2024 - 6/30/2025		Thereafter		Total
Subscription revenue	$	98	$	38	$	17	$	16	$	169
VOI trial package revenue	83		1		4		—		88
VOI incentive revenue	60		—		—		—		60
Exchange-related revenue	55		3		1		—		59
Co-branded credit card programs revenue	3		3		3		1		10
Other revenue	5		—		—		—		5
Total	$	304	$	45	$	25	$	17	$	391

Disaggregation of Net Revenues

The table below presents a disaggregation of the Company’s net revenues from contracts with customers by major services and products for each of the Company’s segments (in millions) (a):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Vacation Ownership
Vacation ownership interest sales (b)	$	400	$	294	$	697	$	466
Property management fees and reimbursable revenues	189		166		374		327
Consumer financing	99		102		198		201
Fee-for-Service commissions	34		29		51		41
Ancillary revenues	13		13		24		22
Total Vacation Ownership	735		604		1,344		1,057
Travel and Membership
Transaction revenues	135		143		282		268
Subscription revenues	45		43		90		84
Ancillary revenues	8		8		17		18
Total Travel and Membership	188		194		389		370
Corporate and other
Eliminations	(1)		(1)		(2)		(2)
Total Corporate and other	(1)		(1)		(2)		(2)
Net revenues	$	922	$	797	$	1,731	$	1,425

(a)This table reflects the reclassification of Extra Holidays from the Travel and Membership segment into the Vacation Ownership segment for all periods presented. Extra Holidays revenue is included within Property management fees and reimbursable revenues.

(b)The Company increased its loan loss allowance by $205 million during 2020, due to an expected increase in net new defaults driven by higher unemployment associated with the novel coronavirus global pandemic (“COVID-19”). During the second quarter of 2021, the Company analyzed the adequacy of this COVID-19 related allowance consistent with past methodology, resulting in a $26 million reversal which is reflected as an increase in Vacation ownership interest sales on the Condensed Consolidated Statements of Income during the three and six months ended June 30, 2021.

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4.    Earnings Per Share

The computations of basic and diluted earnings per share (“EPS”) are based on Net income attributable to Travel + Leisure Co. shareholders divided by the basic weighted average number of common shares and diluted weighted average number of common shares outstanding. The following table sets forth the computations of basic and diluted EPS (in millions, except per share data):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Net income from continuing operations attributable to Travel + Leisure Co. shareholders	$	100	$	74	$	151	$	102
Loss on disposal of discontinued business attributable to Travel + Leisure Co. shareholders, net of income taxes	—		(2)		—		(2)
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Basic earnings per share (a)
Continuing operations	$	1.17	$	0.85	$	1.76	$	1.18
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.17	$	0.83	$	1.76	$	1.16
Diluted earnings per share (a)
Continuing operations	$	1.16	$	0.84	$	1.75	$	1.17
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.16	$	0.82	$	1.75	$	1.15
Basic weighted average shares outstanding	85.0		86.5		85.5		86.4
Stock-settled appreciation rights (“SSARs”), RSUs,(b) PSUs (c) and NQs (d)	0.7		0.9		0.9		0.7
Diluted weighted average shares outstanding (e)	85.7		87.4		86.4		87.1
Dividends:
Aggregate dividends paid to shareholders	$	35	$	27	$	70	$	53

(a)Earnings per share amounts are calculated using whole numbers.

(b)Excludes 0.7 million and 0.8 million of restricted stock units (“RSUs”) that would have been anti-dilutive to EPS for the three and six months ended June 30, 2022. These shares could potentially dilute EPS in the future.

(c)Excludes performance-vested restricted stock units (“PSUs”) of 0.6 million for both the three and six months ended June 30, 2022 and 0.4 million PSUs for both the three and six months ended June 30, 2021, as the Company has not met the required performance metrics. These PSUs could potentially dilute EPS in the future.

(d)Excludes 1.1 million of outstanding non-qualified stock options (“NQs”) that would have been anti-dilutive to EPS for both the three and six months ended June 30, 2022 and 1.4 million of outstanding NQs for both the three and six months ended June 30, 2021. These outstanding NQs could potentially dilute EPS in the future.

(e)The dilutive impact of the Company’s potential common stock is computed utilizing the treasury stock method using average market prices during the period.

Share Repurchase Program

The following table summarizes stock repurchase activity under the current share repurchase program (in millions):

	Shares	Cost
As of December 31, 2021	111.8	$	5,753
Repurchases	2.5	128
As of June 30, 2022	114.3	$	5,881

15

During the second quarter of 2022, the Company’s Board of Directors increased the authorization for the Company’s share repurchase program by $500 million. As of June 30, 2022, the Company had $700 million of remaining availability under its program.

5.    Acquisitions

Travel + Leisure. On January 5, 2021, the Company acquired the Travel + Leisure brand from Meredith Corporation for $100 million, $35 million of which was paid at closing and is reflected as cash used in Investing activities on the Condensed Consolidated Statements of Cash Flows. The Company made additional payments of $20 million each in the second quarter of 2022 and 2021, the majority of which is reflected as cash used in Financing activities on the Condensed Consolidated Statements of Cash Flows. The remaining payments are to be completed by June 2024. This transaction was accounted for as an asset acquisition, with the full consideration allocated to the related trademark indefinite-lived intangible asset. The Company acquired the Travel + Leisure brand to accelerate its strategic plan to broaden its reach with the launch of new travel services, expand its membership travel business, and amplify the global visibility of its leisure travel products.

6.    Discontinued Operations

During 2018, the Company completed the spin-off of its hotel business (“Spin-off”) Wyndham Hotels & Resorts, Inc. (“Wyndham Hotels”) and the sale of its European vacation rentals business. As a result, the Company has classified the results of operations for these businesses as discontinued operations in its Condensed Consolidated Financial Statements and related notes. Discontinued operations include direct expenses clearly identifiable to the businesses being discontinued. The Company does not expect to incur significant ongoing expenses classified as discontinued operations except for certain tax adjustments that may be required as final tax returns are completed. The Company recognized a Loss on disposal of discontinued business, net of income taxes of $2 million during the three and six months ended June 30, 2021.

7.    Vacation Ownership Contract Receivables

The Company generates vacation ownership contract receivables (“VOCRs”) by extending financing to the purchasers of its VOIs. Vacation ownership contract receivables, net consisted of (in millions):

	June 30, 2022		December 31, 2021
Vacation ownership contract receivables:
Securitized (a)	$	1,992	$	2,061
Non-securitized (b)	824		758
Vacation ownership contract receivables, gross	2,816		2,819
Less: allowance for loan losses	512		510
Vacation ownership contract receivables, net	$	2,304	$	2,309

(a)Excludes $15 million and $17 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

(b)Excludes $7 million and $5 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

During the three and six months ended June 30, 2022, the Company’s securitized VOCRs generated interest income of $72 million and $141 million. During the three and six months ended June 30, 2021, the Company’s securitized VOCRs generated interest income of $77 million and $156 million. Such interest income is included within Consumer financing revenue on the Condensed Consolidated Statements of Income.

During the six months ended June 30, 2022 and 2021, the Company had net VOCR originations of $555 million and $299 million, and received principal collections of $427 million and $389 million. The weighted average interest rate on outstanding VOCRs was 14.6% and 14.5% as of June 30, 2022 and December 31, 2021.

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The activity in the allowance for loan losses on VOCRs was as follows (in millions):

	Six Months Ended
	June 30,
	2022		2021
Allowance for loan losses, beginning balance	$	510	$	693
Provision for loan losses, net	125		71
Contract receivables write-offs, net	(123)		(191)
Allowance for loan losses, ending balance	$	512	$	573

Due to the economic downturn resulting from the novel coronavirus global pandemic (“COVID-19”) during the first quarter of 2020, the Company evaluated the potential impact of COVID-19 on its owners’ ability to repay their contract receivables and as a result of current and projected unemployment rates at that time, the Company recorded a COVID-19 related allowance for loan losses. The Company based its COVID-19 loan loss estimate upon historical data on the relationship between unemployment rates and net new defaults observed during the most recent recession in 2008. This allowance consisted of a $225 million COVID-19 related provision, which was reflected as a reduction to Vacation ownership interest sales and $55 million of estimated recoveries, which were reflected as a reduction to Cost of vacation ownership interests on the Condensed Consolidated Statements of Income. Since the first quarter of 2020, the Company has performed quarterly evaluations of the impact of COVID-19 on its owners’ ability to repay their contract receivables and, as a result of improvement in net new defaults and lower than expected unemployment rates, reduced this allowance resulting in a $111 million increase to Vacation ownership interest sales with a corresponding $40 million increase in Cost of vacation ownership interests. Included within these amounts is a partial allowance reversal which occurred in the second quarter of 2021 resulting in a $26 million increase to Vacation ownership interest sales and a corresponding $10 million increase to Cost of vacation ownership interests on the Condensed Consolidated Statements of Income during the prior year. After considering write-offs and the allowance for remaining likely defaults associated with loans that were granted payment deferrals, the Company has not had a COVID-19 related allowance since December 31, 2021.

The Company recorded net provisions for loan losses of $76 million and $125 million as a reduction of net revenues during the three and six months ended June 30, 2022, and $33 million and $71 million for the three and six months ended June 30, 2021.

Credit Quality for Financed Receivables and the Allowance for Credit Losses

The basis of the differentiation within the identified class of financed VOI contract receivables is the consumer’s Fair Isaac Corporation (“FICO”) score. A FICO score is a branded version of a consumer credit score widely used within the U.S. by the largest banks and lending institutions. FICO scores range from 300 to 850 and are calculated based on information obtained from one or more of the three major U.S. credit reporting agencies that compile and report on a consumer’s credit history. The Company updates its records for all active VOI contract receivables with a balance due on a rolling monthly basis to ensure that all VOI contract receivables are scored at least every six months. The Company groups all VOI contract receivables into five different categories: FICO scores ranging from 700 to 850, from 600 to 699, below 600, no score (primarily comprised of consumers for whom a score is not readily available, including consumers declining access to FICO scores and non-U.S. residents), and Asia Pacific (comprised of receivables in the Company’s Vacation Ownership Asia Pacific business for which scores are not readily available).

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The following table details an aging analysis of financing receivables using the most recently updated FICO scores, based on the policy described above (in millions):

	As of June 30, 2022
	700+		600-699		<600		No Score		Asia Pacific		Total
Current	$	1,656	$	734	$	102	$	68	$	153	$	2,713
31 - 60 days	14		22		10		2		1		49
61 - 90 days	9		12		8		1		1		31
91 - 120 days	5		9		8		1		—		23
Total (a)	$	1,684	$	777	$	128	$	72	$	155	$	2,816
	As of December 31, 2021
	700+		600-699		<600		No Score		Asia Pacific		Total
Current	$	1,630	$	734	$	98	$	72	$	169	$	2,703
31 - 60 days	17		24		10		3		1		55
61 - 90 days	9		12		7		1		—		29
91 - 120 days	9		12		9		1		1		32
Total (a)	$	1,665	$	782	$	124	$	77	$	171	$	2,819

(a)Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

The Company ceases to accrue interest on VOI contract receivables once the contract has remained delinquent for greater than 90 days and reverses all of the associated accrued interest recognized to date against interest income included within Consumer financing revenue on the Condensed Consolidated Statements of Income. At greater than 120 days, the VOI contract receivable is written off to the allowance for loan losses. In accordance with its policy, the Company assesses the allowance for loan losses using a static pool methodology and thus does not assess individual loans for impairment.

The following table details the year of origination of financing receivables using the most recently updated FICO scores, based on the policy described above (in millions):

	As of June 30, 2022
	700+		600-699		<600		No Score		Asia Pacific		Total
2022	$	428	$	142	$	2	$	14	$	37	$	623
2021	365		210		33		3		25		636
2020	173		77		15		5		18		288
2019	246		127		30		15		24		442
2018	198		92		20		12		19		341
Prior	274		129		28		23		32		486
Total	$	1,684	$	777	$	128	$	72	$	155	$	2,816
	As of December 31, 2021
	700+		600-699		<600		No Score		Asia Pacific		Total
2021	$	534	$	221	$	11	$	11	$	38	$	815
2020	224		105		17		6		38		390
2019	324		168		37		19		33		581
2018	234		117		25		14		24		414
2017	157		76		15		11		14		273
Prior	192		95		19		16		24		346
Total	$	1,665	$	782	$	124	$	77	$	171	$	2,819

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8.    Inventory

Inventory consisted of (in millions):

	June 30, 2022		December 31, 2021
Completed VOI inventory	$	961	$	998
Estimated VOI recoveries	184		187
VOI construction in process	37		13
Inventory sold subject to repurchase	6		13
Vacation exchange credits and other	3		4
Land held for VOI development	1		1
Total inventory	$	1,192	$	1,216

The Company had net transfers of VOI inventory to property and equipment of $71 million and $11 million during the six months ended June 30, 2022 and 2021.

Inventory Obligations

The Company has entered into inventory sale transactions with third-party developers for which the Company has conditional rights and obligations to repurchase the completed properties from the developers subject to the properties conforming to the Company’s vacation ownership resort standards and provided that the third-party developers have not sold the properties to another party. Under the sale of real estate accounting guidance, the conditional rights and obligations of the Company constitute continuing involvement and thus the Company is unable to account for these transactions as sales.

The following table summarizes the activity related to the Company’s inventory obligations (in millions):

	Atlanta (a) (b)		Las Vegas (a)		Moab (a)		Orlando (a)		Other (c)		Total
December 31, 2021	$	—	$	13	$	—	$	—	$	1	$	14
Purchases	67		27		—		—		34		128
Payments	(67)		—		—		—		(26)		(93)
June 30, 2022	$	—	$	40	$	—	$	—	$	9	$	49
December 31, 2020	$	—	$	13	$	31	$	22	$	17	$	83
Purchases	—		2		25		1		39		67
Payments	—		(2)		(56)		(5)		(46)		(109)
June 30, 2021	$	—	$	13	$	—	$	18	$	10	$	41

(a)Included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

(b)Represents vacation ownership inventory and property and equipment in Atlanta, Georgia acquired from a third-party developer.

(c)Included in Accounts payable on the Condensed Consolidated Balance Sheets.

The Company has committed to repurchase completed property located in Las Vegas, Nevada from a third-party developer subject to the property meeting the Company’s vacation ownership resort standards and provided that the third-party developer has not sold the property to another party. The maximum potential future payments that the Company may be required to make under this commitment was $65 million as of June 30, 2022.

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9.    Property and Equipment

Property and equipment, net consisted of (in millions):

	June 30, 2022		December 31, 2021
Building and leasehold improvements	$	726	$	653
Capitalized software	716		707
Furniture, fixtures and equipment	206		204
Land	30		30
Finance leases	23		20
Construction in progress	20		18
Total property and equipment	1,721		1,632
Less: accumulated depreciation and amortization	991		943
Property and equipment, net	$	730	$	689

10.    Debt

The Company’s indebtedness consisted of (in millions):

	June 30, 2022		December 31, 2021
Non-recourse vacation ownership debt: (a)
Term notes (b)	$	1,445	$	1,614
USD bank conduit facility (due July 2024) (c)	281		190
AUD/NZD bank conduit facility (due April 2023) (d)	116		130
Total	$	1,842	$	1,934
Debt: (e)
$1.0 billion secured revolving credit facility (due October 2026) (f)	$	—	$	—
$300 million secured term loan B (due May 2025) (g)	287		288
$400 million 3.90% secured notes (due March 2023) (h)	401		401
$300 million 5.65% secured notes (due April 2024)	299		299
$350 million 6.60% secured notes (due October 2025) (i)	346		345
$650 million 6.625% secured notes (due July 2026)	644		643
$400 million 6.00% secured notes (due April 2027) (j)	406		407
$650 million 4.50% secured notes (due December 2029)	641		641
$350 million 4.625% secured notes (due March 2030)	346		346
Finance leases	9		9
Total	$	3,379	$	3,379

(a)Represents non-recourse debt that is securitized through bankruptcy-remote special purpose entities, the creditors of which have no recourse to the Company for principal and interest. These outstanding borrowings (which legally are not liabilities of the Company) are collateralized by $2.11 billion and $2.17 billion of underlying gross VOCRs and related assets (which legally are not assets of the Company) as of June 30, 2022 and December 31, 2021.

(b)The carrying amounts of the term notes are net of deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021.

(c)The Company has a borrowing capacity of $600 million under the USD bank conduit facility through July 2024. Borrowings under this facility are required to be repaid as the collateralized receivables amortize but no later than August 2025.

(d)The Company has a borrowing capacity of 250 million Australian dollars (“AUD”) and 48 million New Zealand dollars (“NZD”) under the AUD/NZD bank conduit facility through April 2023. Borrowings under this facility are required to be repaid no later than May 2025.

(e)The carrying amounts of the secured notes and term loan are net of unamortized discounts of $18 million and $20 million as of June 30, 2022 and December 31, 2021, and net of unamortized debt financing costs of $7 million and $8 million as of June 30, 2022 and December 31, 2021.

(f)The weighted average effective interest rate on borrowings from this facility was 4.59% and 3.19% as of June 30, 2022 and December 31, 2021.

(g)The weighted average effective interest rate on borrowings from this facility was 2.73% and 2.39% as of June 30, 2022 and December 31, 2021.

(h)Includes $1 million and $2 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

(i)Includes $3 million and $4 million of unamortized losses from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

(j)Includes $8 million and $9 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

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Sierra Timeshare 2022-1 Receivables Funding LLC

On March 23, 2022, the Company closed on a placement of a series of term notes payable, issued by Sierra Timeshare 2022-1 Receivables Fundings LLC, with an initial principal amount of $275 million, secured by VOCRs and bearing interest at a weighted average coupon rate of 3.84%. The advance rate for this transaction was 98%.

USD Bank Conduit Renewal

On March 4, 2022, the Company renewed its USD timeshare receivables conduit facility, extending the end of the commitment period from October 2022 to July 2024. The renewal included a reduction of the USD borrowing capacity from $800 million to $600 million. The facility bears interest based on variable commercial paper rates plus a spread or the Daily Simple Secured Overnight Financing Rate (“SOFR”) plus a spread.

Maturities and Capacity

The Company’s outstanding debt as of June 30, 2022, matures as follows (in millions):

	Non-recourse Vacation Ownership Debt		Debt		Total
Within 1 year	$	284	$	407	$	691
Between 1 and 2 years	184		305		489
Between 2 and 3 years	258		283		541
Between 3 and 4 years	360		346		706
Between 4 and 5 years	195		1,050		1,245
Thereafter	561		988		1,549
	$	1,842	$	3,379	$	5,221

Required principal payments on the non-recourse vacation ownership debt are based on the contractual repayment terms of the underlying VOCRs. Actual maturities may differ as a result of prepayments by the VOCR obligors.

As of June 30, 2022, available capacity under the Company’s borrowing arrangements was as follows (in millions):

	Non-recourse Conduit Facilities (a)		Revolving Credit Facilities (b)
Total capacity	$	803	$	1,000
Less: outstanding borrowings	397		—
Less: letters of credit	—		2
Available capacity	$	406	$	998

(a)Consists of the Company’s USD bank conduit facility and AUD/NZD bank conduit facility. The capacity of these facilities is subject to the Company’s ability to provide additional assets to collateralize additional non-recourse borrowings.

(b)Consists of the Company’s $1.0 billion secured revolving credit facility.

Debt Covenants

The revolving credit facilities and term loan B are subject to covenants including the maintenance of specific financial ratios as defined in the credit agreement. The original financial ratio covenants consist of a minimum interest coverage ratio of no less than 2.50 to 1.0 as of the measurement date and a maximum first lien leverage ratio not to exceed 4.25 to 1.0 as of the measurement date. The interest coverage ratio is calculated by dividing consolidated EBITDA (as defined in the credit agreement) by consolidated interest expense (as defined in the credit agreement), both as measured on a trailing 12-month basis preceding the measurement date. The first lien leverage ratio is calculated by dividing consolidated first lien debt (as defined in the credit agreement) as of the measurement date by consolidated EBITDA (as defined in the credit agreement) as measured on a trailing 12-month basis preceding the measurement date.

As a precautionary measure during 2020, the Company amended the credit agreement governing its revolving credit facility and term loan B (“First Amendment”). The First Amendment provided flexibility during a relief period spanning from July 15, 2020 through April 1, 2022, or upon earlier termination by the Company (“Relief Period”). Among other changes, the First Amendment established Relief Period restrictions regarding share repurchases, dividends, and acquisitions. During 2021, the Company renewed the credit agreement governing the revolving credit facilities and term loan B (“Second Amendment”). The Second Amendment terminated the Relief Period and the aforementioned Relief Period restrictions. Additionally, the Second Amendment stipulated a first lien leverage ratio financial covenant not to

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exceed 4.75 to 1.0 which commenced with the December 31, 2021 period and extended through June 30, 2022, after which time it will return to 4.25 to 1.0 and reestablished the interest coverage ratio (as defined in the credit agreement) of no less than 2.50 to 1.0, the levels in place prior to COVID-19. The Second Amendment also reestablished the tiered pricing grid that was in place prior to COVID-19.

As of June 30, 2022, the Company’s interest coverage ratio was 4.62 to 1.0 and the first lien leverage ratio was 3.72 to 1.0. These ratios do not include interest expense or indebtedness related to any qualified securitization financing (as defined in the credit agreement). As of June 30, 2022, the Company was in compliance with the financial covenants described above.

As a result of the Company’s first lien leverage ratio decreasing below 3.75 to 1.0 during the period, the interest rate on revolver borrowings and fees associated with letters of credit will decrease 25 basis points in the third quarter of 2022. The interest rate on revolver borrowings and fees associated with letters of credit are subject to future decreases or increases based on the Company’s first lien leverage ratio.

Each of the Company’s non-recourse securitized term notes, and the bank conduit facilities contain various triggers relating to the performance of the applicable loan pools. If the VOCRs pool that collateralizes one of the Company’s securitization notes fails to perform within the parameters established by the contractual triggers (such as higher default or delinquency rates), there are provisions pursuant to which the cash flows for that pool will be maintained in the securitization as extra collateral for the note holders or applied to accelerate the repayment of outstanding principal to the note holders. As of June 30, 2022, all of the Company’s securitized loan pools were in compliance with applicable contractual triggers.

Interest Expense

The Company incurred interest expense of $47 million and $94 million during the three and six months ended June 30, 2022, excluding non-recourse vacation ownership debt, and including an offset of less than $1 million of capitalized interest during each period. Cash paid related to such interest was $94 million during the six months ended June 30, 2022.

The Company incurred interest expense of $47 million and $100 million during the three and six months ended June 30, 2021, excluding non-recourse vacation ownership debt, and including an offset of less than $1 million of capitalized interest during each period. Cash paid related to such interest was $105 million during the six months ended June 30, 2021.

Interest expense incurred in connection with the Company’s non-recourse vacation ownership debt was $17 million and $34 million during the three and six months ended June 30, 2022, and $20 million and $44 million during the three and six months ended June 30, 2021, and is recorded within Consumer financing interest on the Condensed Consolidated Statements of Income. Cash paid related to such interest was $24 million and $31 million for the six months ended June 30, 2022 and 2021.

11.    Variable Interest Entities

The Company analyzes its variable interests, including loans, guarantees, special purpose entities (“SPEs”), and equity investments, to determine if an entity in which the Company has a variable interest is a variable interest entity (“VIE”). If the entity is deemed to be a VIE, the Company consolidates those VIEs for which the Company is the primary beneficiary.

Vacation Ownership Contract Receivables Securitizations

The Company pools qualifying VOCRs and sells them to bankruptcy-remote entities. VOCRs qualify for securitization based primarily on the credit strength of the VOI purchaser to whom financing has been extended. VOCRs are securitized through bankruptcy-remote SPEs that are consolidated within the Company’s Condensed Consolidated Financial Statements. As a result, the Company does not recognize gains or losses resulting from these securitizations at the time of sale to the SPEs. Interest income is recognized when earned over the contractual life of the VOCRs. The Company services the securitized VOCRs pursuant to servicing agreements negotiated on an arm’s-length basis based on market conditions. The activities of these SPEs are limited to (i) purchasing VOCRs from the Company’s vacation ownership subsidiaries, (ii) issuing debt securities and/or borrowing under a conduit facility to fund such purchases, and (iii) entering into derivatives to hedge interest rate exposure. The bankruptcy-remote SPEs are legally separate from the Company. The receivables held by the bankruptcy-remote SPEs are not available to creditors of the Company and legally are not assets of the Company. Additionally, the non-recourse debt that is securitized through the SPEs is legally not a liability of the Company and thus, the creditors of these SPEs have no recourse to the Company for principal and interest.

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The assets and liabilities of these vacation ownership SPEs are as follows (in millions):

	June 30, 2022		December 31, 2021
Securitized contract receivables, gross (a)	$	1,992	$	2,061
Securitized restricted cash (b)	83		84
Interest receivables on securitized contract receivables (c)	15		17
Other assets (d)	17		4
Total SPE assets	2,107		2,166
Non-recourse term notes (e) (f)	1,445		1,614
Non-recourse conduit facilities (e)	397		320
Other liabilities (g)	3		2
Total SPE liabilities	1,845		1,936
SPE assets in excess of SPE liabilities	$	262	$	230

(a)Included in Vacation ownership contract receivables, net on the Condensed Consolidated Balance Sheets.

(b)Included in Restricted cash on the Condensed Consolidated Balance Sheets.

(c)Included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

(d)Primarily includes deferred financing costs for the bank conduit facility and a security investment asset, which is included in Other assets on the Condensed Consolidated Balance Sheets.

(e)Included in Non-recourse vacation ownership debt on the Condensed Consolidated Balance Sheets.

(f)Includes deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021, related to non-recourse debt.

(g)Primarily includes accrued interest on non-recourse debt, which is included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

In addition, the Company has VOCRs that have not been securitized through bankruptcy-remote SPEs. Such gross receivables were $824 million and $758 million as of June 30, 2022 and December 31, 2021. A summary of total vacation ownership receivables and other securitized assets, net of securitized liabilities and the allowance for loan losses, is as follows (in millions):

	June 30, 2022		December 31, 2021
SPE assets in excess of SPE liabilities	$	262	$	230
Non-securitized contract receivables	824		758
Less: allowance for loan losses	512		510
Total, net	$	574	$	478

12.    Fair Value

The Company measures its financial assets and liabilities at fair value on a recurring basis and utilizes the fair value hierarchy to determine such fair values. Financial assets and liabilities carried at fair value are classified and disclosed in one of the following three categories:

Level 1: Quoted prices for identical instruments in active markets.

Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value driver is observable.

Level 3: Unobservable inputs used when little or no market data is available.

In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement falls has been determined based on the lowest level input (closest to Level 3) that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.

The Company’s derivative instruments currently consist of interest rate caps and foreign exchange forward contracts.

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As of June 30, 2022, the Company had foreign exchange contracts resulting in less than $1 million of assets which are included within Other assets and $1 million of liabilities which are included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets. On a recurring basis, such assets and liabilities are remeasured at estimated fair value (all of which are Level 2) and thus are equal to the carrying value.

The impact of interest rate caps was immaterial as of June 30, 2022 and 2021.

For assets and liabilities that are measured using quoted prices in active markets, the fair value is the published market price per unit multiplied by the number of units held without consideration of transaction costs. Assets and liabilities that are measured using other significant observable inputs are valued by reference to similar assets and liabilities. For these items, a significant portion of fair value is derived by reference to quoted prices of similar assets and liabilities in active markets. For assets and liabilities that are measured using significant unobservable inputs, fair value is primarily derived using a fair value model, such as a discounted cash flow model.

The fair value of financial instruments is generally determined by reference to market values resulting from trading on a national securities exchange or in an over-the-counter market. In cases where quoted market prices are not available, fair value is based on estimates using present value or other valuation techniques, as appropriate. The carrying amounts of cash and cash equivalents, restricted cash, trade receivables, accounts payable, and accrued expenses and other current liabilities approximate fair value due to the short-term maturities of these assets and liabilities.

The carrying amounts and estimated fair values of all other financial instruments were as follows (in millions):

	June 30, 2022				December 31, 2021
	Carrying Amount		Estimated Fair Value		Carrying  Amount		Estimated Fair Value
Assets
Vacation ownership contract receivables, net (Level 3)	$	2,304	$	2,863	$	2,309	$	2,858
Liabilities
Debt (Level 2)	$	5,221	$	4,895	$	5,313	$	5,514

The Company estimates the fair value of its VOCRs using a discounted cash flow model which it believes is comparable to the model that an independent third-party would use in the current market. The model uses Level 3 inputs consisting of default rates, prepayment rates, coupon rates, and loan terms for the contract receivables portfolio as key drivers of risk and relative value that, when applied in combination with pricing parameters, determines the fair value of the underlying contract receivables.

The Company estimates the fair value of its non-recourse vacation ownership debt by obtaining Level 2 inputs comprised of indicative bids from investment banks that actively issue and facilitate the secondary market for timeshare securities. The Company estimates the fair value of its debt, excluding finance leases, using Level 2 inputs based on indicative bids from investment banks and determines the fair value of its secured notes using quoted market prices (such secured notes are not actively traded).

During 2019, the Company closed on the sale of its North American vacation rentals business for $162 million. After customary closing adjustments, the Company received $156 million in cash and $10 million in Vacasa LLC (“Vacasa”) equity. During the fourth quarter of 2021, Vacasa merged with a publicly traded special purpose acquisition company and began trading on the Nasdaq Global Select market. As of June 30, 2022 and December 31, 2021, the fair value of the Company’s investment in Vacasa was $4 million and $13 million, as measured using quoted prices in the active market (Level 1).

13.    Derivative Instruments and Hedging Activities

Foreign Currency Risk

The Company has foreign currency rate exposure to exchange rate fluctuations worldwide with particular exposure to the Euro, British pound sterling, Australian and Canadian dollars, and Mexican peso. The Company uses freestanding foreign currency forward contracts to manage a portion of its exposure to changes in foreign currency exchange rates associated with its foreign currency denominated receivables and payables. Additionally, the Company has used foreign currency forward contracts designated as cash flow hedges to manage a portion of its exposure to changes in forecasted foreign currency denominated vendor payments and forecasted earnings of foreign subsidiaries. The amount of gains or losses

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relating to contracts designated as cash flow hedges that the Company expects to reclassify from Accumulated other comprehensive loss (“AOCL”) to earnings over the next 12 months is not material.

Interest Rate Risk

A portion of the debt used to finance the Company’s operations is exposed to interest rate fluctuations. The Company periodically uses financial derivatives to strategically adjust its mix of fixed to floating rate debt. The derivative instruments utilized include interest rate swaps which convert fixed–rate debt into variable–rate debt (i.e. fair value hedges) and interest rate caps (undesignated hedges) to manage the overall interest cost. For relationships designated as fair value hedges, changes in fair value of the derivatives are recorded in income, with offsetting adjustments to the carrying amount of the hedged debt. As of June 30, 2022 and 2021, the Company had no interest rate derivatives designated as fair value or cash flow hedges.

There were no losses on derivatives recognized in AOCL for the three and six months ended June 30, 2022 or 2021.

14.    Income Taxes

The Company files U.S. federal, state, and foreign income tax returns in jurisdictions with varying statutes of limitations. The Company is no longer subject to U.S. federal income tax examinations for years prior to 2016. In addition, with few exceptions, the Company is no longer subject to state, local, or foreign income tax examinations for years prior to 2011.

The Company’s effective tax rate was 24.3% and 29.5% for the three months ended June 30, 2022 and 2021; and 26.8% and 26.6% for the six months ended June 30, 2022 and 2021. The effective tax rates for the three and six months ended June 30, 2022 were impacted by a decrease in unrecognized tax benefits for a tax position effectively settled with taxing authorities. The effective tax rate for the three months ended June 30, 2021 was impacted by additions to unrecognized tax benefits and the remeasurement of net deferred tax liabilities as a result of changes in certain state and foreign tax rates. For the six months ended June 30, 2021, the effective tax rate was impacted by excess tax benefits from stock-based compensation, partially offset by additions to unrecognized tax benefits and the remeasurement of net deferred tax liabilities as a result of changes in certain state and foreign tax rates.

The Company made income tax payments net of tax refunds, of $88 million and $65 million during the six months ended June 30, 2022 and 2021.

15.    Leases

The Company leases property and equipment under finance and operating leases for its corporate headquarters, administrative functions, marketing and sales offices, and various other facilities and equipment. For leases with terms greater than 12 months, the Company records the related asset and obligation at the present value of lease payments over the term. Many of its leases include rental escalation clauses, lease incentives, renewal options and/or termination options that are factored into the Company’s determination of lease payments. The Company elected the hindsight practical expedient to determine the reasonably certain lease term for existing leases. The Company also made an accounting policy election to keep leases with an initial term of 12 months or less off the balance sheet and recognize the associated lease payments on a straight-line basis over the lease term in the Condensed Consolidated Statements of Income.

When available, the Company uses the rate implicit in the lease to discount lease payments to present value; however, most of its leases do not provide a readily determinable implicit rate. Therefore, the Company must estimate its incremental borrowing rate to discount the lease payments based on information available at lease commencement. The majority of the Company’s leases have remaining lease terms of one to 20 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the leases within one year.

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The table below presents information related to the lease costs for finance and operating leases (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Operating lease cost	$	6	$	6	$	12	$	11
Short-term lease cost	$	3	$	3	$	7	$	6
Finance lease cost:
Amortization of right-of-use assets	$	1	$	1	$	3	$	2
Interest on lease liabilities	—		—		—		—
Total finance lease cost	$	1	$	1	$	3	$	2

The table below presents the lease-related assets and liabilities recorded on the Condensed Consolidated Balance Sheets:

	Balance Sheet Classification	June 30, 2022			December 31, 2021
Operating leases (in millions):
Operating lease right-of-use assets	Other assets	$	69		$	79
Operating lease liabilities	Accrued expenses and other liabilities	$	122		$	136
Finance leases (in millions):
Finance lease assets (a)	Property and equipment, net	$	11		$	10
Finance lease liabilities	Debt	$	9		$	9
Weighted average remaining lease term:
Operating leases		6.0 years			6.4 years
Finance leases		2.7 years			2.6 years
Weighted average discount rate:
Operating leases (b)		5.8		%	5.8		%
Finance leases		4.3		%	4.4		%

(a)Presented net of accumulated depreciation.

(b)Upon adoption of the lease standard, discount rates used for existing leases were established at January 1, 2019.

The table below presents supplemental cash flow information related to leases (in millions):

	Six Months Ended
	June 30,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	16	$	19
Operating cash flows from finance leases	$	—	$	—
Financing cash flows from finance leases	$	3	$	2
Right-of-use assets obtained in exchange for lease obligations:
Operating leases (a)	$	(1)	$	5
Finance leases	$	3	$	1

(a)Includes write-off of right-of-use assets during the six months ended June 30, 2022.

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The table below presents maturities of lease liabilities as of June 30, 2022 (in millions):

	Operating Leases		Finance Leases
Six months ending December 31, 2022	$	16	$	2
2023	30		5
2024	28		3
2025	23		1
2026	14		—
Thereafter	34		—
Total minimum lease payments	145		11
Less: amount of lease payments representing interest	(23)		(2)
Present value of future minimum lease payments	$	122	$	9

16.    Commitments and Contingencies

The Company is involved in claims, legal and regulatory proceedings, and governmental inquiries related to its business, none of which, in the opinion of management, is expected to have a material effect on the Company’s results of operations or financial condition.

Travel + Leisure Co. Litigation

The Company may be from time to time involved in claims, legal and regulatory proceedings, and governmental inquiries arising in the ordinary course of its business including but not limited to: for its Vacation Ownership business — breach of contract, bad faith, conflict of interest, fraud, consumer protection and other statutory claims by property owners’ associations, owners and prospective owners in connection with the sale or use of VOIs or land, or the management of vacation ownership resorts, construction defect claims relating to vacation ownership units or resorts or in relation to guest reservations and bookings; and negligence, breach of contract, fraud, consumer protection and other statutory claims by guests and other consumers for alleged injuries sustained at or acts or occurrences related to vacation ownership units or resorts or in relation to guest reservations and bookings; for its Travel and Membership business — breach of contract, fraud and bad faith claims by affiliates and customers in connection with their respective agreements, negligence, breach of contract, fraud, consumer protection and other statutory claims asserted by members, guests and other consumers for alleged injuries sustained at or acts or occurrences related to affiliated resorts, or in relation to guest reservations and bookings; and for each of its businesses, bankruptcy proceedings involving efforts to collect receivables from a debtor in bankruptcy, employment matters including but not limited to, claims of wrongful termination, retaliation, discrimination, harassment and wage and hour claims, whistleblower claims, claims of infringement upon third parties’ intellectual property rights, claims relating to information security, privacy and consumer protection, fiduciary duty/trust claims, tax claims, environmental claims, and landlord/tenant disputes.

The Company records an accrual for legal contingencies when it determines, after consultation with outside counsel where appropriate, that it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. In making such determinations, the Company evaluates, among other things, the degree of probability of an unfavorable outcome and, when it is probable that a liability has been incurred, the Company’s ability to make a reasonable estimate of loss. The Company reviews these accruals each fiscal quarter and makes revisions based on changes in facts and circumstances including changes to its strategy in dealing with these matters. The Company believes that it has adequately accrued for such matters with reserves of $21 million and $19 million as of June 30, 2022 and December 31, 2021. Litigation is inherently unpredictable and, although the Company believes that its accruals are adequate and/or that it has valid defenses in these matters, unfavorable results could occur. As such, an adverse outcome from such proceedings for which claims are awarded in excess of the amounts accrued, if any, could be material to the Company with respect to earnings and/or cash flows in any given reporting period. As of June 30, 2022, it is estimated that the potential exposure resulting from adverse outcomes of such legal proceedings could, in the aggregate, range up to $34 million in excess of recorded accruals. Such reserves are exclusive of matters relating to the Company’s separation from Cendant, matters relating to the Spin-off, and matters relating to the sale of the vacation rentals businesses, which are discussed in Note 22—Transactions with Former Parent and Former Subsidiaries. However, the Company does not believe that the impact of such litigation should result in a material liability to the Company in relation to its consolidated financial position and/or liquidity.

For matters deemed reasonably possible, therefore not requiring accrual, the Company believes that such matters will not have a material effect on its results of operations, financial position, or cash flows based on information currently available.

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As of June 30, 2022, it is estimated that the potential exposure resulting from adverse outcomes of such legal proceedings could, in the aggregate, range up to an amount less than $1 million.

GUARANTEES/INDEMNIFICATIONS

Standard Guarantees/Indemnifications

In the ordinary course of business, the Company enters into agreements that contain standard guarantees and indemnities whereby the Company indemnifies another party for specified breaches of, or third-party claims relating to, an underlying agreement. Such underlying agreements are typically entered into by one of the Company’s subsidiaries. The various underlying agreements generally govern purchases, sales or outsourcing of products or services, leases of real estate, licensing of software and/or development of vacation ownership properties, access to credit facilities, derivatives and issuances of debt securities. Also in the ordinary course of business, the Company provides corporate guarantees for its operating business units relating to merchant credit-card processing for prepaid customer stays and other deposits. While a majority of these guarantees and indemnifications extend only for the duration of the underlying agreement, some survive the expiration of the agreement. The Company is not able to estimate the maximum potential amount of future payments to be made under these guarantees and indemnifications as the triggering events are not predictable. In certain cases, the Company maintains insurance coverage that may mitigate any potential payments.

Other Guarantees and Indemnifications

Vacation Ownership

The Company has committed to repurchase completed property located in Las Vegas, Nevada, from a third-party developer subject to such property meeting the Company’s vacation ownership resort standards and provided that the third-party developer has not sold such property to another party. See Note 8—Inventory for additional details.

For information on guarantees and indemnifications related to the Company’s former parent and subsidiaries see Note 22—Transactions with Former Parent and Former Subsidiaries.

17.    Accumulated Other Comprehensive (Loss)/Income

The components of accumulated other comprehensive loss are as follows (in millions):

	Foreign		Unrealized		Accumulated
	Currency		(Losses)/Gains		Other
	Translation		on Cash Flow		Comprehensive
Pretax	Adjustments		Hedges		(Loss)/Income
Balance, December 31, 2021	$	(145)	$	(1)	$	(146)
Other comprehensive loss	(32)		—		(32)
Balance, June 30, 2022	$	(177)	$	(1)	$	(178)

Tax
Balance, December 31, 2021	$	97	$	1	$	98
Other comprehensive income	2		—		2
Balance, June 30, 2022	$	99	$	1	$	100

Net of Tax
Balance, December 31, 2021	$	(48)	$	—	$	(48)
Other comprehensive loss	(30)		—		(30)
Balance, June 30, 2022	$	(78)	$	—	$	(78)

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	Foreign		Unrealized		Accumulated
	Currency		(Losses)/Gains		Other
	Translation		on Cash Flow		Comprehensive
Pretax	Adjustments		Hedges		(Loss)/Income
Balance, December 31, 2020	$	(113)	$	(1)	$	(114)
Other comprehensive loss	(11)		—		(11)
Balance, June 30, 2021	$	(124)	$	(1)	$	(125)

Tax
Balance, December 31, 2020	$	97	$	1	$	98
Other comprehensive income	—		—		—
Balance, June 30, 2021	$	97	$	1	$	98

Net of Tax
Balance, December 31, 2020	$	(16)	$	—	$	(16)
Other comprehensive loss	(11)		—		(11)
Balance, June 30, 2021	$	(27)	$	—	$	(27)

Currency translation adjustments exclude income taxes related to investments in foreign subsidiaries where the Company intends to reinvest the undistributed earnings indefinitely in those foreign operations.

There were no reclassifications out of AOCL for the six months ended June 30, 2022 or 2021.

18.    Stock-Based Compensation

The Company has a stock-based compensation plan available to grant RSUs, PSUs, SSARs, NQs, and other stock-based awards to key employees, non-employee directors, advisors, and consultants.

The Wyndham Worldwide Corporation 2006 Equity and Incentive Plan was originally adopted in 2006 and was amended and restated in its entirety and approved by shareholders on May 17, 2018, (the “Amended and Restated Equity Incentive Plan”). Under the Amended and Restated Equity Incentive Plan, a maximum of 15.7 million shares of common stock may be awarded. As of June 30, 2022, 10.8 million shares remain available.

Incentive Equity Awards Granted by the Company

During the six months ended June 30, 2022, the Company granted incentive equity awards to key employees and senior officers of $31 million in the form of RSUs and $13 million in the form of PSUs. Of these awards, the majority of RSUs will vest ratably over a period of four years. The majority of PSUs will cliff vest on the third anniversary of the grant date, contingent upon the Company achieving certain performance metrics.

During the six months ended June 30, 2021, the Company granted incentive equity awards to key employees and senior officers of $33 million in the form of RSUs, $7 million in the form of PSUs, and $2 million in the form of stock options.

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The activity related to incentive equity awards granted to the Company’s key employees and senior officers by the Company for the six months ended June 30, 2022, consisted of the following (in millions, except grant prices):

	Balance, December 31, 2021		Granted		Vested /Exercised (a)		Cancelled / Forfeited (b)		Balance, June 30, 2022
RSUs
Number of RSUs	1.8		0.6		(0.5)		(0.1)		1.8		(c)
Weighted average grant price	$	47.83	$	52.84	$	48.85	$	46.58	$	49.11
PSUs
Number of PSUs	0.4		0.3		—		(0.1)		0.6		(d)
Weighted average grant price	$	48.18	$	52.87	$	—	$	44.43	$	51.30
NQs
Number of NQs	2.3		—		—		—		2.3		(e)
Weighted average grant price	$	45.32	$	—	$	—	$	—	$	45.33

(a)Upon exercise of NQs and upon vesting of RSUs and PSUs, the Company issues new shares to participants.

(b)The Company recognizes cancellations and forfeitures as they occur.

(c)Aggregate unrecognized compensation expense related to RSUs was $62 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.8 years.

(d)Aggregate unrecognized compensation expense related to PSUs that are probable of vesting was $15 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.5 years. The maximum amount of compensation expense associated with PSUs that are not probable of vesting could range up to $12 million over a weighted average period of 1.8 years.

(e)There were 1.4 million NQs which were exercisable as of June 30, 2022. These exercisable NQs will expire over a weighted average period of 6.6 years and carry a weighted average grant date fair value of $8.52. Unrecognized compensation expense for NQs was $6 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.0 years.

The Company did not grant any stock options during the first half of 2022. The fair value of stock options granted by the Company during 2021 was estimated on the date of these grants using the Black-Scholes option-pricing model with the relevant weighted average assumptions outlined in the table below. Expected volatility was based on both historical and implied volatilities of the Company’s stock and the stock of comparable companies over the estimated expected life for options. The expected life represents the period of time these awards are expected to be outstanding. The risk-free interest rate is based on yields on U.S. Treasury strips with a maturity similar to the estimated expected life of the options. The projected dividend yield was based on the Company’s anticipated annual dividend divided by the price of the Company’s stock on the date of the grant.

Stock Options	2021
Grant date fair value	$18.87
Grant date strike price	$59.00
Expected volatility	44.80%
Expected life (a)	6.25 years
Risk-free interest rate	1.09%
Projected dividend yield	3.12%

(a)The maximum contractual term for these options is 10 years.

The total intrinsic value of exercised options was less than $1 million during the six months ended June 30, 2022, and less than $1 million and $1 million during the three and six months ended June 30, 2021. The grant date fair value of options that vested during the six months ended June 30, 2022 and 2021 were $4 million in both periods.

Stock-Based Compensation Expense

The Company recorded stock-based compensation expense related to incentive equity awards granted to key employees, senior officers, and non-employee directors of $12 million and $24 million during the three and six months ended June 30, 2022, and $9 million and $16 million during the three and six months ended June 30, 2021. Such stock-based compensation expense for the six months ended June 30, 2022 includes $3 million which has been classified within

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Restructuring on the Condensed Consolidated Statements of Income. The Company recognized $7 million and $4 million of associated tax benefits during the six months ended June 30, 2022 and 2021.

The Company paid $6 million and $9 million of taxes for the net share settlement of incentive equity awards that vested during the six months ended June 30, 2022 and 2021. Such amounts are included within Financing activities on the Condensed Consolidated Statements of Cash Flows.

Employee Stock Purchase Plan

The Company has an employee stock purchase plan which allows eligible employees to purchase common shares of Company stock through payroll deductions at a 10% discount off the fair market value at the grant date. The Company issued 0.1 million shares and recognized less than $1 million of compensation expense related to grants under this plan during the six months ended June 30, 2022 and 2021.

19.    Segment Information

The Company has two reportable segments: Vacation Ownership and Travel and Membership. Due to changes in organizational structure in the second quarter of 2022, the management of Extra Holidays was transitioned to the Vacation Ownership segment. As such, the Company reclassified the results of Extra Holidays, which was previously reported within the Travel and Membership segment, into the Vacation Ownership segment. Prior period segment information has been updated to reflect this change. The reportable segments presented below are those for which discrete financial information is available and which are utilized on a regular basis by the chief operating decision maker to assess performance and to allocate resources. In identifying its reportable segments, the Company also considers the nature of services provided by its operating segments. Management uses net revenues and Adjusted EBITDA to assess the performance of the reportable segments. Adjusted EBITDA is defined by the Company as Net income from continuing operations before Depreciation and amortization, Interest expense (excluding Consumer financing interest), early extinguishment of debt, Interest income (excluding Consumer financing revenues) and income taxes. Adjusted EBITDA also excludes stock-based compensation costs, separation and restructuring costs, legacy items, transaction costs for acquisitions and divestitures, impairments, gains and losses on sale/disposition of business, and items that meet the conditions of unusual and/or infrequent. Legacy items include the resolution of and adjustments to certain contingent assets and liabilities related to acquisitions of continuing businesses and dispositions, including the separation of Wyndham Hotels & Resorts, Inc. and Cendant, and the sale of the vacation rentals businesses. The Company believes that Adjusted EBITDA is a useful measure of performance for its segments which, when considered with GAAP measures, the Company believes gives a more complete understanding of its operating performance. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.

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The following tables present the Company’s segment information (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
Net revenues	2022		2021		2022		2021
Vacation Ownership	$	735	$	604	$	1,344	$	1,057
Travel and Membership	188		194		389		370
Total reportable segments	923		798		1,733		1,427
Corporate and other (a)	(1)		(1)		(2)		(2)
Total Company	$	922	$	797	$	1,731	$	1,425
	Three Months Ended				Six Months Ended
	June 30,				June 30,
Reconciliation of Net income to Adjusted EBITDA	2022		2021		2022		2021
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Loss on disposal of discontinued business, net of income taxes	—		2		—		2
Provision for income taxes	32		31		55		37
Depreciation and amortization	31		31		61		63
Interest expense	47		47		94		100
Interest (income)	(1)		(1)		(2)		(1)
Stock-based compensation	12		9		21		16
Unrealized loss on equity investment	8		—		8		—
Restructuring (b)	1		—		8		(1)
Legacy items	1		1		2		4
COVID-19 related costs (c)	—		1		2		2
Asset recoveries, net (d)	(1)		—		(1)		—
Adjusted EBITDA	$	230	$	193	$	399	$	322
	Three Months Ended				Six Months Ended
	June 30,				June 30,
Adjusted EBITDA	2022		2021		2022		2021
Vacation Ownership	$	187	$	137	$	291	$	204
Travel and Membership	64		71		146		146
Total reportable segments	251		208		437		350
Corporate and other (a)	(21)		(15)		(38)		(28)
Total Company	$	230	$	193	$	399	$	322

(a)Includes the elimination of transactions between segments.

(b)Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

(c)Includes expenses related to COVID-19 testing and other expenses associated with the Company’s return-to-work program in 2022. In 2021, this includes severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

(d)Includes $1 million of inventory impairments for the three and six months ended June 30, 2022, included in Cost of vacation ownership interests on the Condensed Consolidated Statements of Income.

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Segment Assets (a)	June 30, 2022		December 31, 2021
Vacation Ownership	$	4,765	$	4,760
Travel and Membership	1,366		1,397
Total reportable segments	6,131		6,157
Corporate and other	346		431
Total Company	$	6,477	$	6,588

(a)Excludes investment in consolidated subsidiaries.

20.    COVID-19 Related Items

During the three months ended June 30, 2022, the Company had no expenses directly related to COVID-19. During the six months ended June 30, 2022, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Employee compensation related and other	$	—	$	—	$	2	$	2	COVID-19 related costs
Total COVID-19	$	—	$	—	$	2	$	2

During the three months ended June 30, 2021, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Allowance for loan losses:
Provision	$	(26)	$	—	$	—	$	(26)	Vacation ownership interest sales
Recoveries	10		—		—		10		Cost of vacation ownership interests
Employee compensation related and other	1		—		—		1		COVID-19 related costs
Total COVID-19	$	(15)	$	—	$	—	$	(15)

During the six months ended June 30, 2021, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Allowance for loan losses:
Provision	$	(26)	$	—	$	—	$	(26)	Vacation ownership interest sales
Recoveries	10		—		—		10		Cost of vacation ownership interests
Employee compensation related and other	1		—		1		2		COVID-19 related costs
Lease related	(1)		—		—		(1)		Restructuring
Total COVID-19	$	(16)	$	—	$	1	$	(15)

Allowance for loan losses - Due to the closure of resorts and sales centers and the economic downturn resulting from COVID-19 during 2020, the Company evaluated the potential impact of COVID-19 on its owners’ ability to repay their

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contract receivables and as a result of higher unemployment, the Company recorded a COVID-19 related allowance for loan losses. During 2020, the total impact of this COVID-related allowance and subsequent adjustments resulted in a $205 million COVID-19 related provision, which was reflected as a reduction to Vacation ownership interest sales and $48 million of estimated recoveries, which were reflected as a reduction to Cost of vacation ownership interests on the Consolidated Statements of Income. During the second quarter of 2021, the Company analyzed the adequacy of this COVID-19 related allowance consistent with past methodology, and due to the improvement in net new defaults the Company reduced this allowance resulting in a $26 million increase to Vacation ownership interest sales and a corresponding $10 million increase to Cost of vacation ownership interests. The net positive impact of this adjustment on Adjusted EBITDA was $16 million for the three and six months ended June 30, 2021. Refer to Note 7—Vacation Ownership Contract Receivables for additional details.

Employee compensation related and other - During the six months ended June 30, 2022, these costs were related to COVID-19 testing and other expenses associated with the Company’s return-to-work program.

During the three and six months ended June 30, 2021, employee compensation related and other included severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

In connection with these actions the Company recorded COVID-19 employee-related liabilities which are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets. The activity associated with these COVID-19 related liabilities is summarized as follows (in millions):

	Liability as of						Liability as of
	December 31, 2021		Costs Recognized		Cash Payments		June 30, 2022
COVID-19 employee-related	$	1	$	2	$	(2)	$	1
	$	1	$	2	$	(2)	$	1

Lease related - During the six months ended June 30, 2021, the Company reversed $1 million of expense included in Restructuring on the Condensed Consolidated Statements of Income related to the reimbursement of prepaid licensing fees that were previously written-off at the Vacation Ownership segment.

21.    Restructuring

2022 Restructuring Plans

During the three and six months ended June 30, 2022, the Company incurred $1 million and $8 million of restructuring expense. Certain positions were made redundant based upon changes to the organizational structure of the Company, primarily within the Travel and Membership segment. The charges consisted of (i) $6 million of personnel costs at the Travel and Membership segment (ii) $1 million of lease and personnel-related costs at the Vacation Ownership segment, and (iii) $1 million of personnel-related costs at the Company’s corporate operations. These restructuring charges included $3 million of accelerated stock-based compensation expense. All material initiative and related expenses have been incurred as of June 30, 2022. The 2022 restructuring liability was reduced by $1 million of cash payments during the six months ended June 30, 2022. The majority of the remaining liability of $4 million is expected to be paid in 2022 with lease-related payments continuing through 2025.

2020 Restructuring Plans

During 2020, the Company recorded $37 million of restructuring charges, most of which were COVID-19 related. These charges included $22 million at the Travel and Membership segment associated with the Company’s decision to abandon the remaining portion of its administrative offices in New Jersey, and $14 million of lease-related charges due to the renegotiation of an agreement and facility-related restructuring charges associated with closed sales centers at the Vacation Ownership segment. As of December 31, 2021, this restructuring liability was $22 million which was reduced by $2 million of cash payments during the six months ended June 30, 2022. The remaining 2020 restructuring liability of $20 million is lease-related and is expected to be paid by the end of 2029.

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The activity associated with the Company’s restructuring plans is summarized as follows (in millions):

	Liability as of									Liability as of
	December 31, 2021		Costs Recognized (a)		Cash Payments		Other			June 30, 2022
Facility-related	$	22	$	1	$	(2)	$	—		$	21
Personnel-related	—		7		(1)		(3)		(b)	3
	$	22	$	8	$	(3)	$	(3)		$	24

(a)Included in Restructuring on the Condensed Consolidated Statements of Income.

(b)Represents $3 million of accelerated stock-based compensation expense for the six months ended June 30, 2022, included in Additional paid-in capital on the Condensed Consolidated Balance Sheets.

22.    Transactions with Former Parent and Former Subsidiaries

Matters Related to Cendant

Pursuant to the Separation and Distribution Agreement with Cendant (the Company’s former parent company, now Avis Budget Group), the Company entered into certain guarantee commitments with Cendant and Cendant’s former subsidiary, Realogy. These guarantee arrangements primarily relate to certain contingent litigation liabilities, contingent tax liabilities, and Cendant contingent and other corporate liabilities, of which Wyndham Worldwide Corporation assumed 37.5% of the responsibility while Cendant’s former subsidiary Realogy is responsible for the remaining 62.5%. In connection with the Spin-off, Wyndham Hotels agreed to retain one-third of Cendant’s contingent and other corporate liabilities and associated costs; therefore, Travel + Leisure Co. is effectively responsible for 25% of such matters subsequent to the separation. Since Cendant’s separation, Cendant has settled the majority of the lawsuits that were pending on the date of the separation.

As of June 30, 2022 and December 31, 2021, the Cendant separation and related liabilities were $14 million and $13 million, all of which were tax related liabilities. These liabilities are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

Matters Related to Wyndham Hotels

In connection with the Spin-off on May 31, 2018, Travel + Leisure Co. entered into several agreements with Wyndham Hotels that govern the relationship of the parties following the separation including the Separation and Distribution Agreement, the Employee Matters Agreement, the Tax Matters Agreement, the Transition Services Agreement, and the License, Development and Noncompetition Agreement.

The Company and Wyndham Hotels entered into a letter agreement during 2021 pursuant to which, among other things Wyndham Hotels waived its right to enforce certain noncompetition covenants in the License, Development and Noncompetition Agreement.

In accordance with the agreements governing the relationship between Travel + Leisure Co. and Wyndham Hotels, Travel + Leisure Co. assumed two-thirds and Wyndham Hotels assumed one-third of certain contingent corporate liabilities of the Company incurred prior to the Spin-off, including liabilities of the Company related to certain terminated or divested businesses, certain general corporate matters, and any actions with respect to the separation plan. Likewise, Travel + Leisure Co. is entitled to receive two-thirds and Wyndham Hotels is entitled to receive one-third of the proceeds from certain contingent corporate assets of the Company arising or accrued prior to the Spin-off.

Matters Related to the European Vacation Rentals Business

In connection with the sale of the Company’s European vacation rentals business to Awaze Limited (“Awaze”), formerly Compass IV Limited, an affiliate of Platinum Equity, LLC, the Company and Wyndham Hotels agreed to certain post-closing credit support for the benefit of certain credit card service providers, a British travel association, and certain regulatory authorities to allow them to continue providing services or regulatory approval to the business. Post-closing credit support may be called if the business fails to meet its primary obligation to pay amounts when due. Awaze has provided an indemnification to Travel + Leisure Co. in the event that the post-closing credit support is enforced or called upon.

At closing, the Company agreed to provide additional post-closing credit support to a British travel association and regulatory authority. An escrow was established at closing, of which $46 million was subsequently released in exchange

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for a secured bonding facility and a perpetual guarantee denominated in pound sterling of $46 million. The estimated fair value of the guarantee was $22 million as of June 30, 2022. The Company maintains a $7 million receivable from Wyndham Hotels for its portion of the guarantee.

In addition, the Company agreed to indemnify Awaze against certain claims and assessments, including income tax, value-added tax and other tax matters, related to the operations of the European vacation rentals business for the periods prior to the transaction. The estimated fair value of the indemnifications was $42 million at June 30, 2022. The Company has a $14 million receivable from Wyndham Hotels for its portion of the guarantee.

Wyndham Hotels provided certain post-closing credit support primarily for the benefit of a British travel association in the form of guarantees which are mainly denominated in pound sterling of up to £61 million ($81 million USD) on a perpetual basis. These guarantees totaled £32 million ($39 million USD) at June 30, 2022. Travel + Leisure Co. is responsible for two-thirds of these guarantees.

As part of this agreement Wyndham Hotels was required to maintain minimum credit ratings which increased to Ba1 for Moody’s Investors Services and BB+ for Standard & Poor’s Rating Services (“S&P”) on May 9, 2020. In April 2020, S&P downgraded Wyndham Hotels’ credit rating from BB+ to BB. Although any ultimate exposure relative to indemnities retained from the European vacation rentals sale would be shared two-thirds by Travel + Leisure Co. and one-third by Wyndham Hotels, as the selling entity, Travel + Leisure Co. was responsible for administering additional security to enhance corporate guarantees in the event either company falls below a certain credit rating threshold. As a result of the Wyndham Hotels credit ratings downgrade, during 2020, the Company posted a £58 million surety bond and a £36 million letter of credit. During the third quarter of 2021, S&P upgraded Wyndham Hotels’ credit rating to BB+. In connection with the upgrade of Wyndham Hotels’ credit rating and as part of the settlement of other claims, the surety bond and letter of credit were released during the fourth quarter of 2021.

The estimated fair value of the guarantees and indemnifications for which Travel + Leisure Co. is responsible related to the sale of the European vacation rentals business at June 30, 2022, including the two-thirds portion related to guarantees provided by Wyndham Hotels, totaled $90 million and was recorded in Accrued expenses and other liabilities and total receivables of $21 million were included in Other assets on the Condensed Consolidated Balance Sheets, representing the portion of these guarantees and indemnifications for which Wyndham Hotels is responsible.

During 2019, Awaze proposed certain post-closing adjustments of £35 million ($44 million USD) related to the sale of the European vacation rentals business. During the fourth quarter of 2021, the Company entered into a settlement agreement, contingent upon regulatory approval, to settle these post-closing adjustment claims for £5 million ($7 million USD), one-third of which is the responsibility of Wyndham Hotels.

Matters Related to the North American Vacation Rentals Business

In connection with the sale of the North American vacation rentals business, the Company agreed to indemnify Vacasa against certain claims and assessments, including income tax and other tax matters related to the operations of the North American vacation rentals business for the periods prior to the transaction. The estimated fair value of the indemnifications was $2 million, which was included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets at June 30, 2022.

In connection with the sale of the North American vacation rentals business in the fourth quarter of 2019, the Company entered into a transition service agreement with Vacasa, pursuant to which the companies agreed to provide each other certain transitional services including human resources, facilities, payroll, information technology, information management and related services, treasury, and finance on an interim, transitional basis. During the six months ended June 30, 2021, transition service agreement expenses were less than $1 million and transition service agreement income was less than $1 million. Transition service agreement expenses were included in General and administrative expense and transition service income was included in Other revenue on the Condensed Consolidated Statements of Income. These transition services ended in February 2021.

23.    Related Party Transactions

In 2019, the Company entered into an agreement with a former executive of the Company whereby the former executive through an SPE would develop and construct VOI inventory located in Orlando, Florida. In 2020, the Company acquired the completed vacation ownership property for $45 million. This agreement was subsequently amended during 2021, increasing the purchase to $47 million.

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24.    Subsequent Event

Sierra Timeshare 2022-2 Receivables Funding LLC

On July 21, 2022, the Company closed on a placement of a series of term notes payable, issued by Sierra Timeshare 2022-2 Receivables Fundings LLC, with an initial principal amount of $275 million, secured by VOCRs and bearing interest at a weighted average coupon rate of 5.7%. The advance rate for this transaction was 90.5%.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

FORWARD-LOOKING STATEMENTS

This report includes “forward-looking statements” as that term is defined by the Securities and Exchange Commission (“SEC”). Forward-looking statements are any statements other than statements of historical fact, including statements regarding our expectations, beliefs, hopes, intentions or strategies regarding the future. In some cases, forward-looking statements can be identified by the use of words such as “may,” “will,” “expects,” “should,” “believes,” “plans,” “anticipates,” “estimates,” “predicts,” “potential,” “continue,” “future,” “intend,” and other words of similar meaning. Forward-looking statements are subject to risks and uncertainties that could cause actual results of Travel + Leisure Co. and its subsidiaries (“Travel + Leisure Co.” or “we”) to differ materially from those discussed in, or implied by, the forward-looking statements. Factors that might cause such a difference include, but are not limited to, risks associated with: the acquisition of the Travel + Leisure brand and the future prospects and plans for Travel + Leisure Co., including our ability to execute our strategies to grow our cornerstone timeshare and exchange businesses and expand into the broader leisure travel industry through new business extensions; our ability to compete in the highly competitive timeshare and leisure travel industries; uncertainties related to acquisitions, dispositions and other strategic transactions; the health of the travel industry and declines or disruptions caused by adverse economic conditions, unemployment rates, and consumer sentiment, terrorism or acts of gun violence, political strife, war, including hostilities in Ukraine, pandemics, and severe weather events and other natural disasters; adverse changes in consumer travel and vacation patterns, consumer preferences and demand for our products; increased or unanticipated operating costs and other inherent business risks; our ability to comply with financial and restrictive covenants under our indebtedness and our ability to access capital markets on reasonable terms, at a reasonable cost or at all; maintaining the integrity of internal or customer data and protecting our systems from cyber-attacks; uncertainty with respect to the scope, impact and duration of the novel coronavirus global pandemic (“COVID-19”), including resurgences, the pace of recovery, distribution and adoption of vaccines and treatments, and actions in response to the evolving pandemic by governments, businesses and individuals; the timing and amount of future dividends and share repurchases, if any; and those other factors disclosed as risks under “Risk Factors” in documents we have filed with the SEC, including in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2021, filed with the SEC on February 23, 2022. We caution readers that any such statements are based on currently available operational, financial and competitive information, and they should not place undue reliance on these forward-looking statements, which reflect management’s opinion only as of the date on which they were made. Except as required by law, we undertake no obligation to review or update these forward-looking statements to reflect events or circumstances as they occur.

BUSINESS AND OVERVIEW

We are a global provider of hospitality services and travel products and operate our business in the following two segments:

•Vacation Ownership — develops, markets and sells vacation ownership interests (“VOIs”) to individual consumers, provides consumer financing in connection with the sale of VOIs, and provides property management services at resorts. This segment is wholly comprised of our Wyndham Destinations business line. The following brands operate under the Wyndham Destinations business line: Club Wyndham, WorldMark by Wyndham, Shell Vacations Club, Margaritaville Vacation Club by Wyndham, Presidential Reserve by Wyndham, and Extra Holidays.

•Travel and Membership — operates a variety of travel businesses, including three vacation exchange brands, a home exchange network, travel technology platforms, travel memberships, and direct-to-consumer rentals. This segment is comprised of our Panorama and Travel + Leisure Group business lines. The following brands operate under the Panorama business line: RCI, Panorama Travel Solutions, Alliance Reservations Network (“ARN”), 7Across, The Registry Collection, and Love Home Swap. The Travel + Leisure Group operates Travel + Leisure GO and Travel + Leisure Travel Clubs.

Impact of COVID-19

The results of operations for the six months ended June 30, 2022 include impacts related to the novel coronavirus global pandemic (“COVID-19”), which are significantly lower than the impacts we experienced in the earlier stages of the pandemic. During the three and six months ended June 30, 2021 we adjusted the COVID-19 related allowance for loan losses resulting in a $26 million increase to revenue and a $16 million net positive impact to Adjusted EBITDA, offset in part by $1 million of COVID-19 expenses. See Note 20—COVID-19 Related Items to the Condensed Consolidated Financial Statements for additional details on the impact COVID-19 had on our business.

Travel + Leisure Brand Acquisition

On January 5, 2021, Wyndham Destinations, Inc. acquired the Travel + Leisure brand and related assets from Meredith Corporation for $100 million, of which $55 million was paid during 2021 and $20 million paid during the second quarter of 2022. The remaining payments will be completed by June 2024. This acquisition included Travel + Leisure branded travel clubs

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and members. We acquired the Travel + Leisure brand to accelerate our strategic plan to broaden our reach with the launch of new travel services, expand our membership travel business, and amplify the global visibility of our leisure travel products. Meredith Corporation will continue to operate and monetize Travel + Leisure branded multi-platform media assets across multiple channels under a 30-year royalty-free, renewable licensing relationship. In connection with this acquisition, on February 17, 2021, Wyndham Destinations, Inc. was renamed Travel + Leisure Co. and continues to trade on the New York Stock Exchange under the new ticker symbol TNL.

RESULTS OF OPERATIONS

We have two reportable segments: Vacation Ownership and Travel and Membership. Due to changes in organizational structure in the second quarter of 2022, the management of Extra Holidays was transitioned to the Vacation Ownership segment. As such, we reclassified the results of Extra Holidays, which was previously reported within the Travel and Membership segment, into the Vacation Ownership segment. Prior period segment information has been updated to reflect this change. The reportable segments presented below are those for which discrete financial information is available and which are utilized on a regular basis by our chief operating decision maker to assess performance and to allocate resources. In identifying the reportable segments, we also consider the nature of services provided by our operating segments. Management uses net revenues and Adjusted EBITDA to assess the performance of the reportable segments. We define Adjusted EBITDA as Net income from continuing operations before Depreciation and amortization, Interest expense (excluding Consumer financing interest), early extinguishment of debt, Interest income (excluding Consumer financing revenues) and income taxes. Adjusted EBITDA also excludes stock-based compensation costs, separation and restructuring costs, legacy items, transaction costs for acquisitions and divestitures, impairments, gains and losses on sale/disposition of business, and items that meet the conditions of unusual and/or infrequent. Legacy items include the resolution of and adjustments to certain contingent assets and liabilities related to acquisitions of continuing businesses and dispositions, including the separation of Wyndham Hotels & Resorts, Inc. and Cendant, and the sale of the vacation rentals businesses. We believe that Adjusted EBITDA is a useful measure of performance for our segments which, when considered with GAAP measures, we believe gives a more complete understanding of our operating performance. Our presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.

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OPERATING STATISTICS

The table below presents our operating statistics for the three months ended June 30, 2022 and 2021. These operating statistics are the drivers of our revenues and therefore provide an enhanced understanding of our businesses. Refer to the Three Months Ended June 30, 2022 vs. Three Months Ended June 30, 2021 section for a discussion on how these operating statistics affected our business for the periods presented.

	Three Months Ended June 30,
	2022		2021		% Change (i)
Vacation Ownership
Gross VOI sales (in millions) (a) (j)	$	527	$	383	37.7
Tours (in 000s) (b)	148		117		26.6
Volume Per Guest (“VPG”) (c)	$	3,489	$	3,151	10.7
Travel and Membership (d)
Transactions (in 000s) (e) (f)
Exchange	253		288		(12.1)
Travel Club	190		169		12.2
Total transactions	443		457		(3.1)
Revenue per transaction(f) (g)
Exchange	$	343	$	329	4.2
Travel Club	$	257	$	284	(9.4)
Total revenue per transaction	$	306	$	312	(2.0)
Average number of exchange members (in 000s) (h)	3,517		3,582		(1.8)

(a)Represents total sales of VOIs, including sales under the Fee-for-Service program before the effect of loan loss provisions. We believe that Gross VOI sales provides an enhanced understanding of the performance of our Vacation Ownership business because it directly measures the sales volume of this business during a given reporting period.

(b)Represents the number of tours taken by guests in our efforts to sell VOIs.

(c)VPG is calculated by dividing Gross VOI sales (excluding tele-sales upgrades, which are non-tour upgrade sales) by the number of tours. We believe that VPG provides an enhanced understanding of the performance of our Vacation Ownership business because it directly measures the efficiency of this business’ tour selling efforts during a given reporting period.

(d)Includes the impact of acquisitions from the acquisition dates forward.

(e)Represents the number of vacation bookings recognized as revenue during the period, net of cancellations.

(f)In 2022, the Travel and Membership segment determined that certain rental transactions for travelers that were not RCI members are more closely aligned with Travel Club transactions (previously “Non-exchange”). Prior period results reflect the reclassification of this activity from Exchange to Travel Club.

(g)Represents transaction revenue divided by transactions.

(h)Represents paid members in our vacation exchange programs who are considered to be in good standing.

(i)Percentage of change may not calculate due to rounding.

(j)The following table provides a reconciliation of Vacation ownership interest sales, net to Gross VOI sales for the three months ended June 30, 2022 and 2021 (in millions):

	2022		2021
Vacation ownership interest sales, net	$	400	$	294
Loan loss provision	76		33
Gross VOI sales, net of Fee-for-Service sales	476		327
Fee-for-Service sales (1)	51		56
Gross VOI sales	$	527	$	383

(1)Represents total sales of VOIs through our Fee-for-Service programs where inventory is sold through our sales and marketing channels for a commission. There were $34 million and $29 million Fee-for-Service commission revenues for the three months ended June 30, 2022 and 2021. These commissions are reported within Service and membership fees on the Condensed Consolidated Statements of Income.

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THREE MONTHS ENDED JUNE 30, 2022 VS. THREE MONTHS ENDED JUNE 30, 2021

Our consolidated results are as follows (in millions):

	Three Months Ended June 30,
	2022		2021		Favorable/(Unfavorable)
Net revenues	$	922	$	797	$	125
Expenses	737		646		(91)
Operating income	185		151		34
Interest expense	47		47		—
Other expense/(income), net	7		—		(7)
Interest (income)	(1)		(1)		—
Income before income taxes	132		105		27
Provision for income taxes	32		31		(1)
Net income from continuing operations	100		74		26
Loss on disposal of discontinued business, net of income taxes	—		(2)		2
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	28

During the three months ended June 30, 2021 we analyzed the adequacy of the COVID-19 related allowance consistent with past methodology, and as a result of improvements in net new defaults, we reduced this allowance resulting in a $26 million increase in revenues with a corresponding $10 million increase in Cost of vacation ownership interests representing the associated reduction in estimated recoveries. The net positive impact of this COVID-19 related allowance release on Adjusted EBITDA was $16 million for the three months ended June 30, 2021.

Net revenues increased $125 million for the three months ended June 30, 2022, compared with the same period last year. This increase was unfavorably impacted by foreign currency of $4 million (0.4%). Excluding the impacts of foreign currency and the COVID-19 related allowance release discussed above, the remaining revenue increase was primarily the result of:

•$159 million of increased revenues at our Vacation Ownership segment primarily due to an increase in net VOI sales, property management revenues, and commission revenues as a result of the ongoing recovery of our operations from the impact of COVID-19; partially offset by

•$5 million of decreased revenues at our Travel and Membership segment driven by lower transaction revenues, as COVID-19 shifted bookings from the first quarter into the second quarter of 2021.

Expenses increased $91 million for the three months ended June 30, 2022, compared with the same period last year. This increase was favorably impacted by foreign currency of $4 million (0.6%). Excluding the foreign currency impact and the Cost of vacation ownership interest related to the COVID-19 related allowance release discussed above, the increase in expenses was primarily the result of:

•$35 million increase in sales and commission expenses at the Vacation Ownership segment due to higher gross VOI sales;

•$27 million increase in marketing costs in support of increased revenue;

•$17 million increase in property management expenses due to higher reimbursable resort operating costs and expenses in support of higher management fees;

•$15 million increase in the cost of VOIs sold primarily due to higher gross VOI sales;

•$9 million increase in general and administrative expenses primarily due to legal and other professional fees; and

•$8 million increase in maintenance fees on unsold inventory.

Other expense, net of other income increased by $7 million for the three months ended June 30, 2022, compared with the same period last year, primarily due to an unrecognized loss on equity investments.

Our effective tax rates were 24.3% and 29.5% during the three months ended June 30, 2022 and 2021. The effective tax rate for the three months ended June 30, 2022 was impacted by a decrease in unrecognized tax benefits for a tax position effectively settled with taxing authorities. The effective tax rate for the three months ended June 30, 2021 was impacted by additions to unrecognized tax benefits and the remeasurement of net deferred tax liabilities as a result of changes in certain state and foreign tax rates.

As a result of these items, Net income attributable to Travel + Leisure Co. shareholders increased $28 million for the three months ended June 30, 2022 as compared to the same period last year.

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Our segment results are as follows (in millions):

	Three Months Ended
	June 30,
Net revenues	2022		2021
Vacation Ownership	$	735	$	604
Travel and Membership	188		194
Total reportable segments	923		798
Corporate and other (a)	(1)		(1)
Total Company	$	922	$	797
	Three Months Ended
	June 30,
Reconciliation of Net income to Adjusted EBITDA	2022		2021
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72
Loss on disposal of discontinued business, net of income taxes	—		2
Provision for income taxes	32		31
Depreciation and amortization	31		31
Interest expense	47		47
Interest (income)	(1)		(1)
Stock-based compensation	12		9
Unrealized loss on equity investment	8		—
Restructuring	1		—
Legacy items	1		1
COVID-19 related costs (b)	—		1
Asset recoveries, net (c)	(1)		—
Adjusted EBITDA	$	230	$	193
	Three Months Ended
	June 30,
Adjusted EBITDA	2022		2021
Vacation Ownership	$	187	$	137
Travel and Membership	64		71
Total reportable segments	251		208
Corporate and other (a)	(21)		(15)
Total Company	$	230	$	193

(a)Includes the elimination of transactions between segments.

(b)Includes expenses related to COVID-19 testing and other expenses associated with our return-to-work program in 2022. In 2021, this includes severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

(c)Includes $1 million of inventory impairments for the three months ended June 30, 2022, included in Cost of vacation ownership interests on the Condensed Consolidated Statements of Income.

Vacation Ownership

Net revenues increased $131 million and Adjusted EBITDA increased $50 million during the three months ended June 30, 2022, compared with the same period of 2021. The net revenue increase was unfavorably impacted by foreign currency of $2 million (0.3%) and the Adjusted EBITDA increase was unfavorably impacted by foreign currency of $1 million (0.7%).

The net revenue increase excluding the impact of foreign currency was primarily driven by:

•$149 million increase in gross VOI sales, net of Fee-for-Service sales, due to increased tours and higher VPG associated with the ongoing recovery of our operations from the impact of COVID-19;

•$23 million increase in property management revenues primarily due to higher management fees and reimbursable revenues; and

•$5 million increase in commission revenues due to the mix of VOI Fee-for-Service sales.

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These increases were partially offset by:

•$43 million increase in our provision for loan losses primarily due to higher gross VOI sales, a higher percentage of sales financed, and the partial release of the COVID-19 related allowance during the second quarter of 2021; and

•$3 million decrease in consumer financing revenues primarily due to a lower average portfolio balance.

In addition to the drivers above, Adjusted EBITDA was further impacted by:

•$35 million increase in sales and commission expenses due to higher gross VOI sales;

•$25 million increase in marketing costs in support of increased revenue;

•$17 million increase in property management expenses due to higher reimbursable resort operating costs and expenses in support of higher management fees;

•$8 million increase in maintenance fees on unsold inventory;

•$5 million increase in the cost of VOIs sold primarily due to higher gross VOI sales partially offset by the $10 million reduction in estimated recoveries related to the release of the COVID-19 related allowance during the second quarter of 2021.

These increased expenses were partially offset by:

•$3 million decrease in consumer financing interest expense primarily due to a lower average non-recourse debt balance; and

•$2 million decrease in general and administrative expenses primarily due to lower employee-related costs.

Travel and Membership

Net revenues decreased $6 million and Adjusted EBITDA decreased $7 million during the three months ended June 30, 2022, compared with the same period of 2021. The net revenue decrease was unfavorably impacted by foreign currency of $1 million (0.5%) and the Adjusted EBITDA decrease was favorably impacted by foreign currency of $2 million (2.8%).

The decreases in net revenues excluding the impact of foreign currency was primarily driven by a 3% decrease in transactions and a 2% decrease in revenue per transaction, as COVID-19 shifted bookings from the first quarter into the second quarter of 2021.

In addition to the revenue change explained above, Adjusted EBITDA, excluding the impact of foreign currency, was further impacted by:

•$2 million increase in operating costs, driven by the increase in staffing to support the new travel club launches; and

•$2 million increase in Travel Club marketing costs.

Corporate and other

Corporate and other Adjusted EBITDA decreased $6 million for the three months ended June 30, 2022 compared to 2021, primarily due to legal and other professional fees.

SIX MONTHS ENDED JUNE 30, 2022 VS. SIX MONTHS ENDED JUNE 30, 2021

Our consolidated results are as follows (in millions):

	Six Months Ended June 30,
	2022		2021		Favorable/(Unfavorable)
Net revenues	$	1,731	$	1,425	$	306
Expenses	1,429		1,188		(241)
Operating income	302		237		65
Interest expense	94		100		6
Other expense/(income), net	4		(1)		(5)
Interest (income)	(2)		(1)		1
Income before income taxes	206		139		67
Provision for income taxes	55		37		(18)
Net income from continuing operations	151		102		49
Loss on disposal of discontinued business, net of income taxes	—		(2)		2
Net income attributable to Travel + Leisure Co. shareholders	$	151	$	100	$	51

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During the six months ended June 30, 2021 we analyzed the adequacy of the COVID-19 related allowance consistent with past methodology, and as a result of improvements in net new defaults, we reduced this allowance resulting in a $26 million increase in revenues with a corresponding $10 million increase in Cost of vacation ownership interests representing the associated reduction in estimated recoveries. The net positive impact of the COVID-19 related allowance release on Adjusted EBITDA was $16 million for the six months ended June 30, 2021.

Net revenues increased $306 million for the six months ended June 30, 2022 compared with the same period last year. This increase was unfavorably impacted by foreign currency of $6 million (0.4%). Excluding the impacts of foreign currency and the COVID-19 related allowance release discussed above, the remaining revenue increase was primarily the result of:

•$317 million of increased revenues at our Vacation Ownership segment primarily due to an increase in net VOI sales, property management revenues, and commission revenues as a result of the ongoing recovery of our operations from the impact of COVID-19; and

•$21 million of increased revenues at our Travel and Membership segment driven by higher transaction and subscription revenues primarily due to growth in our travel clubs.

Expenses increased $241 million for the six months ended June 30, 2022 compared with the same period last year. This increase was favorably impacted by foreign currency of $5 million (0.4%). Excluding the foreign currency impact and the Cost of vacation ownership interest related to the COVID-19 allowance release discussed above, the increase in expenses was primarily the result of:

•$70 million increase in sales and commission expenses at the Vacation Ownership segment due to higher gross VOI sales;

•$55 million increase in marketing costs in support of increased revenue;

•$37 million increase in property management expenses due to higher reimbursable resort operating costs and expenses in support of higher management fees;

•$33 million increase in the cost of VOIs sold primarily due to higher gross VOI sales;

•$23 million increase in general and administrative expenses primarily due to higher employee-related costs and legal and other professional fees;

•$21 million increase in maintenance fees on unsold inventory;

•$15 million increase in cost of sales at the Travel and Membership segment in support of higher Travel Club transaction revenue; and

•$9 million increase in restructuring driven by the elimination of certain positions which were made redundant based upon changes to the organizational structure.

These increases were partially offset by a $10 million decrease in consumer financing interest expense primarily due to a lower average non-recourse debt balance.

Interest expense decreased $6 million for the six months ended June 30, 2022 compared with the same period last year primarily due to a lower average debt balance.

Other expense, net of other income increased by $5 million for the six months ended June 30, 2022, compared with the same period last year, primarily due to an unrecognized loss on equity investments; partially offset by value added tax provision releases in the current year.

Our effective tax rates were 26.8% and 26.6% for the six months ended June 30, 2022 and 2021. The effective tax rate for the six months ended June 30, 2022 was impacted by a decrease in unrecognized tax benefits for a tax position effectively settled with taxing authorities. The effective tax rate for the six months ended June 30, 2021was impacted by excess tax benefits from stock-based compensation, partially offset by additions to unrecognized tax benefits and the remeasurement of net deferred tax liabilities as a result of changes in certain state and foreign tax rates.

As a result of these items, Net income attributable to Travel + Leisure Co. shareholders increased $51 million for the six months June 30, 2022 as compared to the same period last year.

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Our segment results are as follows (in millions):

	Six Months Ended
	June 30,
Net Revenues	2022		2021
Vacation Ownership	$	1,344	$	1,057
Travel and Membership	389		370
Total reportable segments	1,733		1,427
Corporate and other (a)	(2)		(2)
Total Company	$	1,731	$	1,425
	Six Months Ended
	June 30,
Reconciliation of Net income to Adjusted EBITDA	2022		2021
Net income attributable to Travel + Leisure Co. shareholders	$	151	$	100
Loss on disposal of discontinued business, net of income taxes	—		2
Provision for income taxes	55		37
Depreciation and amortization	61		63
Interest expense	94		100
Interest (income)	(2)		(1)
Stock-based compensation	21		16
Unrealized loss on equity investment	8		—
Restructuring (b)	8		(1)
Legacy items	2		4
COVID-19 related costs (c)	2		2
Asset recoveries, net (d)	(1)		—
Adjusted EBITDA	$	399	$	322
	Six Months Ended
	June 30,
Adjusted EBITDA	2022		2021
Vacation Ownership	$	291	$	204
Travel and Membership	146		146
Total reportable segments	437		350
Corporate and other (a)	(38)		(28)
Total Company	$	399	$	322

(a)Includes the elimination of transactions between segments.

(b)Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

(c)Includes expenses related to COVID-19 testing and other expenses associated with our return-to-work program in 2022. In 2021, this includes severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

(d)Includes $1 million of inventory impairments for the six months ended June 30, 2022, included in Cost of vacation ownership interests on the Condensed Consolidated Statements of Income.

Vacation Ownership

Net revenues increased $287 million and Adjusted EBITDA increased $87 million during the six months ended June 30, 2022 compared with the same period of 2021. The net revenue increase was unfavorably impacted by foreign currency of $4 million (0.4%) and the Adjusted EBITDA increase was unfavorably impacted by foreign currency of $1 million (0.5%).

The net revenue increase excluding the impact of foreign currency was primarily driven by:

•$285 million increase in gross VOI sales, net of Fee-for-Service sales, due to increased tours and higher VPG associated with the ongoing recovery of our operations from the impact of COVID-19;

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•$47 million increase in property management revenues primarily due to higher management fees and reimbursable revenues; and

•$10 million increase in commission revenues due to the mix of VOI Fee-for-Service sales.

These increases were partially offset by:

•$54 million increase in our provision for loan losses primarily due to higher gross VOI sales, a higher percentage of sales financed, and the partial release of the COVID-19 related allowance in the prior year; and

•$3 million decrease in consumer financing revenues primarily due to a lower average portfolio balance.

In addition to the drivers above, Adjusted EBITDA excluding the impact of foreign currency was further impacted by:

•$70 million increase in sales and commission expenses due to higher gross VOI sales;

•$48 million increase in marketing costs in support of increased revenue;

•$37 million increase in property management expenses due to higher reimbursable resort operating costs and expenses in support of higher management fees;

•$23 million increase in the cost of VOIs sold primarily due to higher gross VOI sales partially offset by the $10 million reduction in estimated recoveries related to the release of the COVID-19 related allowance in the prior year;

•$21 million increase in maintenance fees on unsold inventory;

•$8 million increase in general and administrative expenses primarily due to higher employee-related costs; and

•$4 million increase in commission expense as a result of higher Fee-for-Service VOI sales.

These increased expenses were partially offset by a $10 million decrease in consumer financing interest expense primarily due to a lower average non-recourse debt balance.

Travel and Membership

Net revenues increased $19 million and Adjusted EBITDA was flat during the six months ended June 30, 2022 compared with the same period of 2021. The net revenue increase was unfavorably impacted by foreign currency of $2 million (0.5%) and Adjusted EBITDA was favorably impacted by foreign currency of $1 million (0.7%).

Increases in net revenues excluding the impact of foreign currency were primarily driven by:

•$16 million increase in transaction revenue primarily due to higher Travel Club transactions; and

•$6 million increase in subscription revenue primarily due to lower coupons issued related to COVID-19.

In addition to the revenue changes explained above, Adjusted EBITDA excluding the impact of foreign currency was further impacted by:

•$15 million increase in cost of sales primarily due to increased Travel Club transaction revenue; and

•$7 million increase in marketing and other costs, primarily in support of the increase in Travel Club revenues.

Corporate and other

Corporate Adjusted EBITDA decreased $10 million for the six months ended June 30, 2022 compared to 2021, primarily due to higher employee-related costs, as well as higher legal and other professional fees.

RESTRUCTURING PLANS

During the three and six months ended June 30, 2022, we incurred $1 million and $8 million of restructuring expense. Certain positions were made redundant based upon changes to our organizational structure, primarily within the Travel and Membership segment. The charges consisted of (i) $6 million of personnel costs at the Travel and Membership segment (ii) $1 million of lease and personnel-related costs at the Vacation Ownership segment, and (iii) $1 million of personnel-related costs at our corporate operations. These restructuring charges included $3 million of accelerated stock-based compensation expense. We do not expect to incur any further material charges for this initiative. This restructuring liability was reduced by $1 million of cash payments during the six months ended June 30, 2022. The majority of the remaining 2022 restructuring liability of $4 million is expected to be paid in 2022 with lease-related payments continuing through 2025.

During 2020, we recorded $37 million of restructuring charges, most of which were COVID-19 related. These charges included $22 million at the Travel and Membership segment associated with our decision to abandon the remaining portion of the administrative offices in New Jersey, and $14 million of lease-related charges due to the renegotiation of an agreement and facility-related restructuring charges associated with closed sales centers at the Vacation Ownership segment. As of December 31, 2021 this restructuring liability was $22 million which was reduced by $2 million of cash payments during the six months

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ended June 30, 2022. The remaining 2020 restructuring liability of $20 million is lease-related and is expected to be paid by the end of 2029.

FINANCIAL CONDITION

(In millions)	June 30, 2022		December 31, 2021		Change
Total assets	$	6,477	$	6,588	$	(111)
Total liabilities	$	7,323	$	7,382	$	(59)
Total (deficit)	$	(846)	$	(794)	$	(52)

Total assets decreased by $111 million from December 31, 2021 to June 30, 2022, primarily due to:

•$128 million decrease in Cash and cash equivalents due to treasury share repurchases, net repayments of non-recourse debt, dividend payments, property and equipment additions, and payments associated with the acquisition of the Travel + Leisure brand, partially offset by net cash provided by operating activities;

•$24 million decrease in Inventory driven by VOI sales and the transfer of completed VOI inventory to property and equipment, partially offset by purchases of completed inventory and inventory recoveries; and

•$16 million decrease in Prepaid expenses driven by the timing of contract renewals for prepaid maintenance fees.

These decreases were partially offset by a $41 million increase in Property and equipment, net, driven by the transfer of completed VOI inventory to property and equipment and capital additions, partially offset by depreciation.

Total liabilities decreased by $59 million from December 31, 2021 to June 30, 2022, driven by a $92 million decrease in Non-recourse vacation ownership debt primarily due to net repayments, partially offset by:

•$9 million increase in Deferred income driven by an increase in deferred incentive revenues; and

•$14 million increase in Deferred income taxes primarily driven by installment sales.

Total deficit increased $52 million from December 31, 2021 to June 30, 2022, primarily due to $128 million of share repurchases; $70 million of dividends; and $30 million of unfavorable currency translation adjustments driven by fluctuations in the exchange rates, primarily of the British pound sterling, Danish krone, Australian dollar, and the Euro; partially offset by $151 million of Net income attributable to Travel + Leisure Co. shareholders and a $25 million increase in additional paid-in capital, primarily due to stock-based compensation.

LIQUIDITY AND CAPITAL RESOURCES

We believe that we have sufficient liquidity to meet our ongoing cash needs for the next year and beyond, including capital expenditures, operational and/or strategic opportunities, and expenditures for human capital, intellectual property, contractual obligations, off-balance sheet arrangements, and other such requirements. Our net cash from operations and cash and cash equivalents are key sources of liquidity along with our revolving credit facilities, bank conduit facilities, and continued access to debt markets. We believe these sources of liquidity are sufficient to meet our ongoing cash needs, including the repayment of our $400 million notes due in March 2023. Our discussion below highlights these sources of liquidity and how they have been utilized to support our cash needs.

$1.0 Billion Revolving Credit Facility

We generally utilize our revolving credit facility to finance our short-term to medium-term business operations, as needed. The facility was renewed during 2021, extending the commitment period to October 2026. As of June 30, 2022, we had $998 million of available capacity on our revolving credit facility, net of letters of credit.

The revolving credit facility and term loan B are subject to covenants including the maintenance of specific financial ratios as defined in the credit agreement. The financial ratio covenants consist of a minimum interest coverage ratio and a maximum first lien leverage ratio. The interest coverage ratio is calculated by dividing consolidated EBITDA (as defined in the credit agreement) by consolidated interest expense (as defined in the credit agreement), both as measured on a trailing 12-month basis preceding the measurement date. The first lien leverage ratio is calculated by dividing consolidated first lien debt (as defined in the credit agreement) as of the measurement date by consolidated EBITDA (as defined in the credit agreement) as measured on a trailing 12-month basis preceding the measurement date.

As a precautionary measure during 2020, we amended the credit agreement governing the revolving credit facility and term loan B (“First Amendment”). The First Amendment provided flexibility during a relief period spanning from July 15, 2020

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through April 1, 2022, or upon our earlier termination (“Relief Period”). Among other changes, the First Amendment established Relief Period restrictions regarding share repurchases, dividends, and acquisitions. During 2021 we entered into the second amendment governing our revolving credit facility and term loan B (“Second Amendment”) which resulted in the termination of the aforementioned Relief Period restrictions and extended the commitment period for the revolving credit facility from May 2023 to October 2026. The Second Amendment stipulates a first lien leverage ratio financial covenant not to exceed 4.75 to 1.0 which commenced with the December 31, 2021 period and extended through June 30, 2022, after which time it will return to 4.25 to 1.0 and reestablished the interest coverage ratio (as defined in the credit agreement) of no less than 2.50 to 1.0, the levels in place prior to COVID-19. Additionally, the Second Amendment reestablished the annual interest rate pricing schedule in existence prior to COVID-19, which is equal to, at our option, either a base rate plus a margin ranging from 0.75% to 1.25% or the London Interbank Offered Rate (“LIBOR”) plus a margin ranging from 1.75% to 2.25%, in either case based upon our first lien leverage ratio. The Second Amendment also includes customary LIBOR replacement language providing for alternative interest rate options upon the cessation of LIBOR publication.

As of June 30, 2022, our first lien leverage ratio was 3.72 to 1.0 and our interest coverage ratio was 4.62 to 1.0. These ratios do not include interest expense or indebtedness related to any qualified securitization financing (as defined in the credit agreement). As of June 30, 2022, we were in compliance with the financial covenants described above.

As a result of our first lien leverage ratio decreasing below 3.75 to 1.0 during the period, the interest rate on revolver borrowings and fees associated with letters of credit will decrease 25 basis points in the third quarter of 2022. The interest rate on revolver borrowings and fees associated with letters of credit are subject to future decreases or increases based on the first lien leverage ratio.

Secured Notes and Term Loan B

We generally utilize borrowing under our secured notes to meet our long-term financing needs. As of June 30, 2022, we had $3.37 billion of outstanding borrowings under our secured notes and Term Loan B, with maturities ranging from 2023 to 2030.

Non-recourse Vacation Ownership Debt

Our Vacation Ownership business finances certain of its vacation ownership contract receivables (“VOCRs”) through (i) asset-backed conduit facilities and (ii) term asset-backed securitizations, all of which are non-recourse to us with respect to principal and interest. For the securitizations, we pool qualifying VOCRs and sell them to bankruptcy-remote entities, all of which are consolidated into the accompanying Condensed Consolidated Balance Sheets as of June 30, 2022. We plan to continue using these sources to finance certain VOCRs. On March 4, 2022 we renewed our USD bank conduit facility, extending its term through July 2024. This renewal included a reduction of the USD borrowing capacity from $800 million to $600 million. We believe that our USD bank conduit facility and our AUD/NZD bank conduit facility, with a term through April 2023, amounting to a combined capacity of $803 million ($406 million available as of June 30, 2022) along with our ability to issue term asset-backed securities, provides sufficient liquidity to finance the sale of VOIs beyond the next year.

We closed on securitization financings of $275 million during the first quarter of 2022 and $850 million during the full year 2021. Subsequent to the end of the second quarter of 2022, we closed on an additional securitization financing of $275 million. These transactions positively impacted our liquidity and reinforce our expectation that we will maintain adequate liquidity for the next year and beyond.

Our liquidity position may be negatively affected by unfavorable conditions in the capital markets in which we operate or if our VOCR portfolios do not meet specified portfolio credit parameters. Our liquidity, as it relates to our VOCR securitization program, could be adversely affected if we were to fail to renew or replace our conduit facilities on their expiration dates, or if a particular receivables pool were to fail to meet certain ratios, which could occur in certain instances if the default rates or other credit metrics of the underlying VOCRs deteriorate. Our ability to sell securities backed by our VOCRs depends on the continued ability and willingness of capital market participants to invest in such securities.

Each of our non-recourse securitized term notes and the bank conduit facilities contain various triggers relating to the performance of the applicable loan pools. If the VOCR pool that collateralizes one of our securitization notes fails to perform within the parameters established by the contractual triggers (such as higher default or delinquency rates), there are provisions pursuant to which the cash flows for that pool will be maintained in the securitization as extra collateral for the note holders or applied to accelerate the repayment of outstanding principal to the note holders. As of June 30, 2022, all of our securitized loan pools were in compliance with applicable contractual triggers.

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We may, from time to time, depending on market conditions and other factors, repurchase our outstanding indebtedness, whether or not such indebtedness trades above or below its face amount, for cash and/or in exchange for other securities or other consideration, in each case in open market purchases and/or privately negotiated transactions.

For additional details regarding our credit facilities, term loan B, and non-recourse debt see Note 10—Debt to the Condensed Consolidated Financial Statements.

Material Cash Requirements

The following table summarizes material future contractual obligations of our continuing operations (in millions). We plan to fund these obligations, along with our other cash requirements, with net cash from operations, cash and cash equivalents, and through the use of our revolving credit facilities, bank conduit facilities, and continued access to debt markets.

	7/1/22 - 6/30/23		7/1/23 - 6/30/24		7/1/24 - 6/30/25		7/1/25 - 6/30/26		7/1/26 - 6/30/27		Thereafter		Total
Debt	$	407	$	305	$	283	$	346	$	1,050	$	988	$	3,379
Non-recourse debt (a)	284		184		258		360		195		561		1,842
Interest on debt (b)	231		206		185		149		84		120		975
Purchase commitments (c)	187		139		121		132		92		128		799
Operating leases	31		29		26		18		14		27		145
Inventory sold subject to conditional repurchase (d)	65		—		—		—		—		—		65
Total (e)	$	1,205	$	863	$	873	$	1,005	$	1,435	$	1,824	$	7,205

(a)Represents debt that is securitized through bankruptcy-remote special purpose entities the creditors of which have no recourse to us for principal and interest.

(b)Includes interest on debt and non-recourse debt; estimated using the stated interest rates.

(c)Includes (i) $638 million for marketing-related activities; (ii) $94 million for information technology activities; and (iii) $5 million relating to the development of vacation ownership properties.

(d)Represents obligations to repurchase completed vacation ownership properties from third-party developers (See Note 8—Inventory to the Condensed Consolidated Financial Statements for further detail) of which $40 million was included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

(e)Excludes a $35 million liability for unrecognized tax benefits as it is not reasonably estimable to determine the periods in which such liability would be settled with the respective tax authorities.

In addition to the amounts shown in the table above and in connection with our separation from Cendant, we entered into certain guarantee commitments with Cendant (pursuant to our assumption of certain liabilities and our obligation to indemnify Cendant, Realogy, and Travelport for such liabilities) and guarantee commitments related to deferred compensation arrangements with Cendant and Realogy. We also entered into certain guarantee commitments and indemnifications related to the sale of our vacation rentals businesses. For information on matters related to our former parent and subsidiaries see Note 22—Transactions with Former Parent and Former Subsidiaries to the Condensed Consolidated Financial Statements.

In addition to the key contractual obligation and separation related commitments described above, we also utilize surety bonds in our Vacation Ownership business for sales and development transactions in order to meet regulatory requirements of certain states. In the ordinary course of our business, we have assembled commitments from 12 surety providers in the amount of $2.3 billion, of which we had $362 million outstanding as of June 30, 2022. The availability, terms and conditions and pricing of bonding capacity are dependent on, among other things, continued financial strength and stability of the insurance company affiliates providing the bonding capacity, general availability of such capacity, and our corporate credit rating. If the bonding capacity is unavailable or, alternatively, the terms and conditions and pricing of the bonding capacity are unacceptable to us, our Vacation Ownership business could be negatively impacted.

Our secured debt is rated Ba3 with a “stable outlook” by Moody’s Investors Service, BB- with a “stable outlook” by Standard & Poor’s Rating Services, and BB+ with a “negative outlook” by Fitch Rating Agency. A security rating is not a recommendation to buy, sell or hold securities and is subject to revision or withdrawal by the assigning rating organization. Reference in this report to any such credit rating is intended for the limited purpose of discussing or referring to aspects of our liquidity and of our costs of funds. Any reference to a credit rating is not intended to be any guarantee or assurance of, nor should there be any undue reliance upon, any credit rating or change in credit rating, nor is any such reference intended as any inference concerning future performance, future liquidity, or any future credit rating.

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CASH FLOW

The following table summarizes the changes in cash, cash equivalents, and restricted cash during the six months ended June 30, 2022 and 2021 (in millions):

	2022		2021		Change
Cash provided by/(used in):
Operating activities	$	230	$	290	$	(60)
Investing activities	(29)		(62)		33
Financing activities	(315)		(1,098)		783
Effects of changes in exchange rates on cash and cash equivalents	(5)		(1)		(4)
Net change in cash, cash equivalents and restricted cash	$	(119)	$	(871)	$	752

Operating Activities

Net cash provided by operating activities was $230 million for the six months ended June 30, 2022, compared to $290 million in the prior year. This $60 million decrease was driven by a $215 million increase in cash utilized for working capital, partially offset by a $106 million increase in non-cash add-back items primarily due to a higher provision for loan losses and deferred income taxes, and a $51 million increase in net income.

Investing Activities

Net cash used in investing activities was $29 million for the six months ended June 30, 2022, compared to $62 million in the prior year. This decrease was primarily related to $37 million of cash payments for the acquisition of the Travel + Leisure brand in the prior year.

Financing Activities

Net cash used in financing activities was $315 million for the six months ended June 30, 2022, compared to $1.1 billion in the prior year. This decrease was primarily due to $802 million of net repayments on the revolving credit facility and notes in 2021, $213 million of net repayments on non-recourse debt in 2021 compared to $87 million in 2022; partially offset by $127 million of share repurchases in 2022.

Capital Deployment

We focus on deploying capital for the highest possible returns. Ultimately, our business objective is to grow our business while optimizing cash flow and Adjusted EBITDA. We intend to continue to invest in select capital and technological improvements across our business. We may also seek to strategically grow the business through merger and acquisition activities. As part of our merger and acquisition strategy, we have made, and expect to continue to make, acquisition proposals and enter into non-binding letters of intent, allowing us to conduct due diligence on a confidential basis. A potential transaction contemplated by a letter of intent may never reach the point where we enter into a definitive agreement, nor can we predict the timing of such a potential transaction. Finally, we intend to continue to return value to shareholders through the repurchase of common stock and payment of dividends. All future declarations of quarterly cash dividends are subject to final approval by the Board of Directors.

During the six months ended June 30, 2022, we spent $93 million on vacation ownership development projects (inventory). We believe that our Vacation Ownership business currently has adequate finished inventory to support vacation ownership sales for several years. During 2022, we anticipate spending between $150 million and $170 million on vacation ownership development projects. The average inventory spend on vacation ownership development projects for the four-year period 2023 through 2026 is expected to be between $140 million and $170 million annually. After factoring in the anticipated additional average annual spending, we expect to have adequate inventory to support vacation ownership sales through at least the next four to five years.

During the six months ended June 30, 2022, we spent $24 million on capital expenditures, primarily for information technology and sales center improvement projects. During 2022, we anticipate spending between $55 million and $60 million on capital expenditures.

In connection with our focus on optimizing cash flow, we are continuing our asset-light efforts in vacation ownership by seeking opportunities with financial partners whereby they make strategic investments to develop assets on our behalf. We refer to this as Just-in-Time. The partner may invest in new ground-up development projects or purchase from us, for cash, existing in-process inventory which currently resides on our Condensed Consolidated Balance Sheets. The partner will complete the

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development of the project and we may purchase finished inventory at a future date as needed or as obligated under the agreement.

We expect that the majority of the expenditures that will be required to pursue our capital spending programs, strategic investments, and vacation ownership development projects will be financed with cash flow generated through operations and cash and cash equivalents. We expect that additional expenditures will be financed with general secured corporate borrowings, including through the use of available capacity under our revolving credit facility.

Share Repurchase Program

On August 20, 2007, our Board of Directors authorized a share repurchase program that enables us to purchase our common stock. As of June 30, 2022, the Board of Directors had increased the capacity of the program nine times, most recently in April 2022 by $500 million, bringing the total authorization under the current program to $6.5 billion. We had $700 million of remaining availability in our program as of June 30, 2022.

Under our current share repurchase program, we repurchased 2.5 million shares at an average price of $50.67 for a cost of $128 million during the six months ended June 30, 2022. The amount and timing of specific repurchases are subject to market conditions, applicable legal requirements and other factors, including capital allocation priorities. Repurchases may be conducted in the open market or in privately negotiated transactions.

Dividends

We paid cash dividends of $0.40 per share during the first and second quarters of 2022 and $0.30 per share during the first and second quarters 2021. The aggregate dividends paid to shareholders were $70 million and $53 million during the six months ended June 30, 2022 and 2021. Our long-term plan is to grow our dividend at the rate of growth of our earnings at a minimum. The declaration and payment of future dividends to holders of our common stock are at the discretion of our Board of Directors and depend upon many factors, including our financial condition, earnings, capital requirements of our business, covenants associated with certain debt obligations, legal requirements, regulatory constraints, industry practice, and other factors that our Board of Directors deems relevant. There is no assurance that a payment of a dividend or a dividend at current levels will occur in the future.

SEASONALITY

We experience seasonal fluctuations in our net revenues and net income from sales of VOIs and vacation exchange fees. Revenues from sales of VOIs are generally higher in the third quarter than in other quarters due to increased leisure travel. Revenues from vacation exchange fees are generally highest in the first quarter, which is generally when members of our vacation exchange business book their vacations for the year. Our seasonality has been and could continue to be impacted by COVID-19.

The seasonality of our business may cause fluctuations in our quarterly operating results. As we expand into new markets and geographical locations, we may experience increased or different seasonality dynamics that create fluctuations in operating results different from the fluctuations we have experienced in the past.

COMMITMENTS AND CONTINGENCIES

From time to time, we are involved in claims, legal and regulatory proceedings, and governmental inquiries related to our business, none of which, in the opinion of management, is expected to have a material effect on our results of operations or financial condition. See Note 16—Commitments and Contingencies to the Condensed Consolidated Financial Statements for a description of claims and legal actions arising in the ordinary course of our business along with our guarantees and indemnifications and Note 22—Transactions with Former Parent and Former Subsidiaries to the Condensed Consolidated Financial Statements for a description of our obligations regarding Cendant contingent litigation, matters related to Wyndham Hotels, and matters related to the vacation rentals businesses.

CRITICAL ACCOUNTING ESTIMATES

In presenting our Condensed Consolidated Financial Statements in conformity with generally accepted accounting principles, we are required to make estimates and assumptions that affect the amounts reported therein. Several of the estimates and assumptions we are required to make relate to matters that are inherently uncertain as they pertain to future events. However, events that are outside of our control cannot be predicted and, as such, they cannot be contemplated in evaluating such estimates and assumptions. If there is a significant unfavorable change to current conditions, it could result in a material impact to our consolidated results of operations, financial position, and liquidity. We believe that the estimates and assumptions we used

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when preparing our Condensed Consolidated Financial Statements were the most appropriate at that time. These Condensed Consolidated Financial Statements should be read in conjunction with our “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the audited Consolidated Financial Statements included in the Annual Report filed on Form 10-K with the SEC on February 23, 2022, which includes a description of our critical accounting estimates that involve subjective and complex judgments that could potentially affect reported results.

Item 3. Quantitative and Qualitative Disclosures about Market Risks.

We assess our market risks based on changes in interest and foreign currency exchange rates utilizing a sensitivity analysis that measures the potential impact in earnings, fair values and cash flows based on a hypothetical 10% change (increase and decrease) in interest and foreign currency exchange rates. We used June 30, 2022 market rates to perform a sensitivity analysis separately for each of our market risk exposures. The estimates assume instantaneous, parallel shifts in interest rate yield curves and exchange rates. We have determined, through such analyses, that a hypothetical 10% change in the interest rates would have resulted in a $1 million increase or decrease in annual consumer financing interest expense and total interest expense. We have determined that a hypothetical 10% change in the foreign currency exchange rates would have resulted in an approximate increase or decrease to the fair value of our outstanding forward foreign currency exchange contracts of $5 million, which would generally be offset by an opposite effect on the underlying exposure being economically hedged. As such, we believe that a 10% change in interest rates or foreign currency exchange rates would not have a material effect on our prices, earnings, fair values, or cash flows.

Our variable rate borrowings, which include our term loan, non-recourse conduit facilities, and revolving credit facility, expose us to risks caused by fluctuations in the applicable interest rates. The total outstanding balance of such variable rate borrowings at June 30, 2022, was $397 million in non-recourse debt and $287 million in corporate debt. A 100 basis point change in the underlying interest rates would result in a $4 million increase or decrease in annual consumer financing interest expense and a $3 million increase or decrease in our annual debt interest expense.

Item 4. Controls and Procedures.

(a)Disclosure Controls and Procedures. As of the end of the period covered by this report, we carried out an evaluation, under the supervision and with the participation of our management, including our principal executive and principal financial officers, of the effectiveness of the design and operation of our disclosure controls and procedures (as such term is defined in Rule 13(a)-15(e) of the Securities Exchange Act of 1934 (the “Exchange Act”)). Based on such evaluation, our principal executive and principal financial officers concluded that our disclosure controls and procedures were designed and functioning effectively to provide reasonable assurance that information required to be disclosed by us in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC, and to provide reasonable assurance that such information is accumulated and communicated to our management, including our principal executive and principal financial officers, as appropriate, to allow timely decisions regarding required disclosure.

(b)Internal Control Over Financial Reporting. There have been no changes in our internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the Exchange Act) during the period to which this report relates that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting. As of June 30, 2022, we utilized the criteria established in Internal Control-Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.

A significant portion of our employees either work remotely or on a hybrid remote work schedule. We have not identified any material changes in our disclosure controls and procedures, nor our internal control over financial reporting, as a result of this change. We are continually monitoring and assessing the design and operating effectiveness of our internal controls to minimize impacts.

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PART II – OTHER INFORMATION

Item 1. Legal Proceedings.

We are involved in various claims and lawsuits arising in the ordinary course of business, none of which, in the opinion of management, is expected to have a material adverse effect on our results of operations or financial condition. See Note 16—Commitments and Contingencies to the Condensed Consolidated Financial Statements for a description of claims and legal actions arising in the ordinary course of our business and Note 22—Transactions with Former Parent and Former Subsidiaries to the Condensed Consolidated Financial Statements for a description of our obligations regarding Cendant contingent litigation, matters related to Wyndham Hotels & Resorts, Inc., and matters related to the vacation rentals businesses.

Item 1A. Risk Factors.

The discussion of our business and operations should be read together with the risk factors contained in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2021, filed with the Securities and Exchange Commission on February 23, 2022, which describe various risks and uncertainties to which we are or may become subject. These risks and uncertainties have the potential to affect our business, financial condition, results of operations, cash flows, strategies or prospects in a material and adverse manner. As of June 30, 2022, there have been no material changes to the risk factors set forth in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2021.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

(c) Below is a summary of our common stock repurchases by month for the quarter ended June 30, 2022:

ISSUER PURCHASES OF EQUITY SECURITIES

Period	Total Number of Shares Purchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plan	Approximate Dollar Value of Shares that May Yet Be Purchased Under Plan
April 2022	214,530	$	53.66	214,530	$	771,631,005
May 2022	818,319	$	50.08	818,319	$	730,647,896
June 2022 (a)	692,137	$	44.08	692,137	$	700,136,739
Total (a)	1,724,986	$	48.12	1,724,986	$	700,136,739

(a) Includes 73,313 shares purchased for which the trade date occurred in June 2022 while settlement occurred in July 2022.

On August 20, 2007, our Board of Directors authorized the repurchase of our common stock (the “Share Repurchase Program”). Under the Share Repurchase Program, we are authorized to repurchase shares through open market purchases, privately-negotiated transactions or otherwise in accordance with applicable federal securities laws, including through Rule 10b5-1 trading plans and under Rule 10b-18 of the Exchange Act. The Share Repurchase Program has no time limit and may be suspended or discontinued completely at any time. As of June 30, 2022, the Board of Directors had increased the capacity of the Share Repurchase Program nine times, most recently in April 2022, by $500 million, bringing the total authorization under the current program to $6.5 billion. Under our current and prior stock repurchase plans, the total authorization is $7.3 billion. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations - Share Repurchase Program” for further information on the Share Repurchase Program.

For a description of limitations on the payment of our dividends, see “Management’s Discussion and Analysis of Financial Condition and Results of Operations - Dividends.”

Item 3.    Defaults upon Senior Securities.

None.

Item 4.    Mine Safety Disclosures.

Not applicable.

Item 5.    Other Information.

None.

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Item 6.    Exhibits.

Exhibit No.	Description
3.1	Restated Certificate of Incorporation (incorporated by reference to Exhibit 3.2 to the Registrant’s Form 8-K filed May 10, 2012).
3.2	Certificate of Amendment to Certificate of Incorporation of Wyndham Worldwide Corporation effective as of May 31, 2018 (incorporated by reference to Exhibit 3.1 to the Registrant’s Form 8-K filed June 4, 2018).
3.3	Certificate of Amendment to Restated Certificate of Incorporation of Wyndham Destinations, Inc., effective as of February 17, 2021 (incorporated by reference to Exhibit 3.1 to the Registrant’s Form 8-K filed February 17, 2021).
3.4	Third Amended and Restated Bylaws of Travel + Leisure Co., effective as of February 17, 2021 (incorporated by reference to Exhibit 3.2 to the Registrant’s Form 8-K filed February 17, 2021).
10.1*†	Letter Agreement dated as of February 7, 2019, by and between Wyndham Destinations, Inc. and Olivier Chavy
15*	Letter re: Unaudited Interim Financial Information
31.1*	Certification of President and Chief Executive Officer Pursuant to Rule 13a-14(a) Under the Securities and Exchange Act of 1934.
31.2*	Certification of Chief Financial Officer Pursuant to Rule 13a-14(a) Under the Securities Exchange Act of 1934
32**	Certification of President and Chief Executive Officer and Chief Financial Officer Pursuant to 18 U.S.C. Section 1350.
101.INS*	Inline XBRL Instance Document
101.SCH*	Inline XBRL Taxonomy Extension Schema Document
101.CAL*	Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF*	Inline XBRL Taxonomy Extension Definition Linkbase Document
101.LAB*	Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE*	Inline XBRL Taxonomy Extension Presentation Linkbase Document
104*	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

*    Filed with this report

** Furnished with this report

† Management contract or compensatory plan or arrangement

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		TRAVEL + LEISURE CO.
Date: July 28, 2022	By:	/s/ Michael A. Hug
		Michael A. Hug
		Chief Financial Officer
Date: July 28, 2022	By:	/s/ Elizabeth E. Dreyer
		Elizabeth E. Dreyer
		Chief Accounting Officer

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EX-10.1

Exhibit 10.1

February 7, 2019

Olivier Chavy    

via electronic delivery

Dear Mr. Chavy:

We are pleased to confirm the terms and conditions of your employment with RCI part of the Wyndham Destinations, Inc. family of companies (the “Company”) as President, RCI effective as of February 25, 2019 (the “Effective Date”). This position reports to the Chief Executive Officer of the Company and will be located in Orlando, Florida.

In addition to the terms set forth in your offer letter, your base salary is subject to annual review by the Company’s Board of Directors’ Compensation Committee (the ‘Committee’) in its sole discretion. Your annual incentive compensation award will be paid to you at such time as shall be determined by the Compensation Committee, but in no event later than the last day of the calendar year immediately following the calendar year in which such annual incentive compensation award is earned.

You will be eligible for executive perquisites, which currently include Company-provided automobile and financial planning assistance; however, our program is subject to change from time to time. In accordance with our reimbursement policy, as the same may be amended from time to time, the Company will reimburse all taxable business expenses to you on or before the last day of your taxable year following the taxable year in which the expenses are incurred.

Per the Company’s standard policy, this letter agreement (this “Agreement”) is not intended, nor should it be considered, to be an employment contract for a definite or indefinite period of time. As you know, employment with the Company is at will, and either you or the Company may terminate your employment at any time, with or without Cause and with or without prior notice. For purposes of this Agreement, “Cause” means any of the following: (a) your willful failure to substantially perform your duties as an employee of the Company or any subsidiary (other than any such failure resulting from incapacity due to physical or mental illness), (b) any act of fraud, misappropriation, dishonesty, embezzlement or similar conduct by you against the Company or any subsidiary, (c) your conviction of a felony or any crime involving moral turpitude (which conviction, due to the passage of time or otherwise, is not subject to further appeal), (d) your gross negligence in the performance of your duties, or (e) your purposefully or negligently making (or having been found to have made) a false certification to the Company pertaining to its financial statements. Unless the Company reasonably determines in its sole discretion that your conduct is not subject to cure, then the Company will provide notice to you of its intention to terminate your employment for Cause hereunder, along with a description of your conduct which the Company believes gives rise to Cause, and provide you with a period of fifteen (15) days in which to cure such conduct and/or challenge the Company’s determination that Cause exists hereunder; provided, however, that (i) the determination of whether such conduct has been cured and/or gives rise to Cause shall be made by the Company in its sole discretion; and (ii) the Company shall be entitled to immediately and unilaterally restrict or suspend your duties during such fifteen (15)-day period pending such determination.

In the event your employment with the Company is terminated by the Company other than for Cause (not, for the avoidance of doubt, due to your death or your Disability(as such term is defined in the Company’s long-term disability plan)) (a “Qualifying Termination”), subject to the terms and conditions set forth in this Agreement, you will receive severance pay equal to 200% multiplied by the sum of: (a) your then current base salary; plus (b) an amount equal to the highest annual incentive compensation award paid to you with respect to the three (3) fiscal years of the Company immediately preceding the fiscal year in which your termination of employment occurs, but in no event shall the amount (b) exceed your then target compensation incentive award . In the event you become entitled to severance pay under the circumstances described in this Agreement during the three (3) years following the Effective Date, the amount (b) above shall be no less than your then target annual incentive compensation award. Additionally, should there be a Qualifying Termination within three years of your employment commencement date, then an additional $1,000,000 will be added to the severance pay calculation set forth above.

The severance pay will be paid to you in the form of a cash lump sum payment, less all applicable withholdings and deductions, in the first payroll period following the date on which the separation agreement referenced in the following paragraph becomes effective and non-revocable; provided that, to the extent your severance payment is subject to Section 409A of the Internal Revenue Code of 1986, as amended, and the regulations and guidance issued thereunder (collectively, “Code Section 409A”), your termination of employment must constitute a “separation from service” under Code Section 409A; provided, further, that in the event the period during which you are entitled to consider (and revoke, if applicable) such separation agreement spans two calendar years, then any payment that otherwise would have been payable during the first calendar year will in no case be made until the later of (a) the end of the revocation period (assuming that you do not revoke) and (b) the first business day of the second calendar year (regardless of whether you used the full time period allowed for consideration), as and to the extent required for purposes of Code Section 409A; and provided, further, that the Company shall have the right to offset against such severance pay any then-existing documented and bona fide monetary debts you owe to the Company or any of its subsidiaries, to the extent permissible under Code Section 409A.

The above provision of severance pay is subject to, and contingent upon, your execution and non-revocation of a separation agreement, in such form as is determined by the Company, within sixty (60) days of your termination date. Such separation agreement will require you to release all of your actual and purported claims against the Company and its affiliates, including, without limitation, the Company’s affiliated individuals and entities.

You will be eligible to continue to participate in the Company health plans in which the Executive participates (medical, dental and vision) through the end of the month in which the Executive’s termination becomes effective. Following such time, the Executive may elect to continue health plan coverage in accordance with the provisions of the Consolidated Omnibus Budget Reconciliation Act (“COBRA”), and if the Executive elects such coverage, the Company will reimburse the Executive for the costs associated with such continuing health coverage under COBRA until the earlier of (x) eighteen (18) months from the coverage commencement date and (y) the date on which the Executive becomes eligible for health and medical benefits from a subsequent employer.

You agree that you will, with reasonable notice during or after your employment with the Company, furnish such information as may be in your possession and fully cooperate with the Company and its affiliates as may be requested in connection with any claims or legal action in which the Company or any of its affiliates is or may become a party. During your employment, you will comply in all respects with the Company’s Business Principles, policies and standards. After your employment with the Company, you will cooperate as reasonably requested with the Company and its affiliates in connection with any claims or legal actions in which the Company

2

or any of its affiliates is or may become a party. The Company agrees to reimburse you for any reasonable out-of-pocket expenses incurred by you by reason of such cooperation, including any loss of salary due, to the extent permitted by law, and the Company will make reasonable efforts to minimize interruption of your life in connection with your cooperation in such matters as provided for in this paragraph.

You recognize and acknowledge that all information pertaining to this Agreement or to the affairs; business; results of operations; accounting methods, practices and procedures; members; acquisition candidates; financial condition; clients; customers or other relationships of the Company or any of its affiliates (“Information”) is confidential and is a unique and valuable asset of the Company or any of its affiliates. Access to and knowledge of certain of the Information is essential to the performance of your duties under this Agreement. You will not, during your employment with the Company or thereafter, except to the extent reasonably necessary in performance of your duties under this Agreement, give to any person, firm, association, corporation, or governmental agency any Information, except as may be required by law. You will not make use of the Information for your own purposes or for the benefit of any person or organization other than the Company or any of its affiliates. You will also use your best efforts to prevent the disclosure of this Information by others. All records, memoranda, etc. relating to the business of the Company or its affiliates, whether made by you or otherwise coming into your possession, are confidential and will remain the property of the Company or its affiliates.

Upon a Qualifying Termination, you will be eligible to vest in and be paid a pro-rata portion of any performance-based long-term incentive award (excluding stock options and stock appreciation rights) that you may hold at the time of such Qualifying Termination, with such pro-ration based upon the portion of the full performance period during which you were employed by the Company plus twelve (12) months (or, if less, assuming your continued employment for the entire performance period remaining after your Qualifying Termination); provided that the performance goals applicable to the performance-based long-term incentive award are achieved. Payment of any such vested performance-based long-term incentive award will occur at the same time that such performance-based long-term incentive awards are paid to actively-employed employees generally. In addition, all long-term incentive awards that are not subject to performance-based vesting and that would have otherwise vested within the twelve (12)-month period following your Qualifying Termination will become vested upon your Qualifying Termination, and any such long-term incentive awards which are stock options or stock appreciation rights will remain outstanding for a period of two (2) years (but not beyond the original expiration date) following your Qualifying Termination. This paragraph shall not supersede or replace any provision or right relating to the acceleration of the vesting of any long-term incentive award (whether or not performance-based) in the event of a change in control of the Company or your death or disability, whether pursuant to an applicable stock plan document or award agreement.

Although the Company does not guarantee to you any particular tax treatment relating to any payments made or benefits provided to you in connection with your employment with the Company, it is intended that such payments and benefits be exempt from, or comply with, Code Section 409A, and all provisions of this Agreement shall be construed in a manner consistent with the requirements for avoiding taxes or penalties under Code Section 409A.

You hereby acknowledge and agree to the dispute resolution provisions set forth in Appendix A attached hereto.

This Agreement has been executed and delivered in the State of Florida and its validity, interpretation, performance and enforcement will be governed by the internal laws of that state.

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This Agreement, along with the offer letter you received, sets forth the complete terms of our offer of employment to you, and no other verbal promises or representations have been made.  This Agreement and your offer letter are not intended, nor should it be considered, to be an employment contract for a definite or indefinite period of time. Employment with the Company is at will, and either you or the Company may terminate your employment at any time, for any or no reason, and with or without cause or prior notice. In addition, by signing this letter, you acknowledge that this Agreement, along with the offer letter you received and pre-hire documentation you executed or any other written agreement you may execute post-hire, sets forth the entire agreement regarding your employment between you and the Company, and fully supersedes any prior agreements or understandings, whether written or oral.

We are excited to have you contribute to our collective success and look forward to having you as a member of our team.

Sincerely,

By:     Wyndham Destinations, Inc.

/s/ Michael Brown    

Name:    Michael Brown

Title:    Chief Executive Officer

ACKNOWLEDGED AND ACCEPTED:

/s/ Olivier Chavy    
Name:     Olivier Chavy
Date: February 7, 2019

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APPENDIX A

1.You and the Company mutually consent to the resolution by final and binding arbitration of any and all disputes, controversies, or claims related in any way to your employment and/or relationship with the Company, including, without limitation, any dispute, controversy or claim of alleged discrimination, harassment, or retaliation (including, but not limited to, claims based on race, sex, sexual preference, religion, national origin, age, marital or family status, medical condition, or disability); any dispute, controversy, or claim arising out of or relating to any agreements between you and the Company, including this Agreement; and any dispute as to the ability to arbitrate a matter under this Agreement (collectively, “Claims”); provided, however, that nothing in this Agreement shall require arbitration of any Claims which, by law, cannot be the subject of a compulsory arbitration agreement, and nothing in this Agreement shall be interpreted to mean that you are precluded from filing complaints with the Equal Employment Opportunity Commission or the National Labor Relations Board.

2.Any party who is aggrieved will deliver a notice to the other party setting forth the specific points in dispute within the same statute of limitations period applicable to such Claims. Any points remaining in dispute twenty (20) days after the giving of such notice may be submitted to arbitration in New York, New York, in the Borough of Manhattan, to JAMS, before a single arbitrator appointed in accordance with the Employment Arbitration Rules and Procedures of JAMS (“JAMS Rules”) then in effect, modified only as herein expressly provided. The arbitrator shall be selected in accordance with the JAMS Rules; provided that the arbitrator shall be an attorney (i) with at least ten (10) years of significant experience in employment matters and/or (ii) a former federal or state court judge. After the aforesaid twenty (20) days, either party, upon ten (10) days’ notice to the other, may so submit the points in dispute to arbitration. The arbitrator may enter a default decision against any party who fails to participate in the arbitration proceedings. The arbitrator will be empowered to award either party any remedy, at law or in equity, that the party would otherwise have been entitled to, had the matter been litigated in court; provided, however, that the authority to award any remedy is subject to whatever limitations, if any, exist in the applicable law on such remedies. The arbitrator shall issue a decision or award in writing, stating the essential findings of fact and conclusions of law. Any judgment on or enforcement of any award, including an award providing for interim or permanent injunctive relief, rendered by the arbitrator may be entered, enforced, or appealed in any court having jurisdiction thereof. Any arbitration proceedings, decision, or award rendered hereunder, and the validity, effect, and interpretation of this arbitration provision, shall be governed by the Federal Arbitration Act, 9 U.S.C. § 1 et seq.

3.Each party to any dispute shall pay its own expenses, including attorneys' fees; provided, however, that the Company shall pay all reasonable costs, fees, and expenses that you would not otherwise have been subject to paying if the Claim had been resolved in a court of competent jurisdiction.

4.The parties agree that this Appendix A has been included to rapidly, inexpensively and confidentially resolve any disputes between them, and that this Appendix A will be grounds for dismissal of any court action commenced by either party with respect to this Agreement, except as otherwise provided in Paragraph 1 herein, other than (i) any action seeking a restraining order or other injunctive or equitable relief or order in aid of arbitration or to compel arbitration from a court of competent jurisdiction, (ii) any action seeking interim injunctive or equitable relief from the arbitrator pursuant to the JAMS Rules or (iii) post-arbitration actions seeking to enforce an arbitration award from a court of competent jurisdiction. IN THE EVENT THAT ANY COURT DETERMINES THAT THIS ARBITRATION PROCEDURE IS NOT BINDING, OR OTHERWISE ALLOWS ANY

LITIGATION REGARDING A DISPUTE, CLAIM, OR CONTROVERSY COVERED BY THIS AGREEMENT TO PROCEED, THE PARTIES HERETO HEREBY WAIVE ANY AND ALL RIGHT TO A TRIAL BY JURY IN OR WITH RESPECT TO SUCH LITIGATION.

5.The parties will keep confidential, and will not disclose to any person, except to counsel for either of the parties and/or as may be required by law, the existence of any controversy hereunder, the referral of any such controversy to arbitration or the status or resolution thereof. Accordingly, you and the Company agree that all proceedings in any arbitration shall be conducted under seal and kept strictly confidential. In that regard, no party shall use, disclose, or permit the disclosure of any information, evidence, or documents produced by any other party in the arbitration proceedings or about the existence, contents, or results of the proceedings, except as necessary and appropriate for the preparation and conduct of the arbitration proceedings, or as may be required by any legal process, or as required in an action in aid of arbitration, or for enforcement of or appeal from an arbitral award. Before making any disclosure permitted by the preceding sentence, the party intending to make such disclosure shall give the other party reasonable written notice of the intended disclosure and afford such other party a reasonable opportunity to protect its interests (e.g., by application for a protective order and/or to file under seal).

6

EX-15

Exhibit 15

July 28, 2022

The Board of Directors and Stockholders of Travel + Leisure Co.

6277 Sea Harbor Drive

Orlando, Florida 32821

We are aware that our report dated July 28, 2022, on our review of the interim condensed consolidated financial information of Travel + Leisure Co. and subsidiaries appearing in this Quarterly Report on Form 10-Q for the quarter ended June 30, 2022, is incorporated by reference in Registration Statement Nos. 333-136090 and 333-228435 on Forms S-8 and Registration Statement No. 333-256689 on Form S-3ASR.

/s/ Deloitte & Touche LLP

Tampa, Florida

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Michael D. Brown, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Travel + Leisure Co.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s Board of Directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: July 28, 2022
	/S/ MICHAEL D. BROWN
	PRESIDENT AND CHIEF EXECUTIVE OFFICER

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Michael A. Hug, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Travel + Leisure Co.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s Board of Directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: July 28, 2022
	/S/ MICHAEL A. HUG
	CHIEF FINANCIAL OFFICER

EX-32

Exhibit 32

CERTIFICATION OF PRESIDENT AND CEO AND CFO PURSUANT TO

18 U.S.C. SECTION 1350

In connection with the Quarterly Report of Travel + Leisure Co. (the “Company”) on Form 10-Q for the period ended June 30, 2022, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), Michael D. Brown, as President and Chief Executive Officer of the Company, and Michael A. Hug, as Chief Financial Officer of the Company, each hereby certifies, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of his knowledge:

(1.)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2.)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/S/ MICHAEL D. BROWN

MICHAEL D. BROWN

PRESIDENT AND CHIEF EXECUTIVE OFFICER

JULY 28, 2022

/S/ MICHAEL A. HUG

MICHAEL A. HUG

CHIEF FINANCIAL OFFICER

JULY 28, 2022

XML

Document And Entity Information	6 Months Ended
	Jun. 30, 2022 shares
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	001-32876
Entity Registrant Name	Travel & Leisure Co.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-0052541
Entity Address, Address Line One	6277 Sea Harbor Drive
Entity Address, City or Town	Orlando,
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	32821
City Area Code	407
Local Phone Number	626-5200
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	TNL
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding	83,824,510
Amendment Flag	false
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001361658
Current Fiscal Year End Date	--12-31

XML

Condensed Consolidated Statements Of Income/(Loss) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022		Jun. 30, 2021
Net revenues
Net revenues		$ 922	$ 797	$ 1,731		$ 1,425
Expenses
Operating		404	349	785		639
Cost of vacation ownership interests		46	41	86		62
Consumer financing interest		17	20	34		44
General and administrative		121	112	241		218
Marketing		119	92	213		161
Depreciation and amortization		31	31	61		63
Restructuring	[1]	1	0	8	[2]	(1)
COVID-19 related costs		0	1	2		2
Asset recoveries, net		(2)	0	(1)		0
Total expenses		737	646	1,429		1,188
Operating income		185	151	302		237
Interest expense		47	47	94		100
Other expense/(income), net		7	0	4		(1)
Interest (income)		(1)	(1)	(2)		(1)
Income before income taxes		132	105	206		139
Provision for income taxes		32	31	55		37
Net income from continuing operations		100	74	151		102
Loss on disposal of discontinued business, net of income taxes		0	(2)	0		(2)
Net income attributable to Travel + Leisure Co. shareholders		$ 100	$ 72	$ 151		$ 100
Basic earnings per share
Continuing operations	[3]	$ 1.17	$ 0.85	$ 1.76		$ 1.18
Discontinued operations	[3]	0	(0.02)	0		(0.02)
Basic earnings per share	[3]	1.17	0.83	1.76		1.16
Diluted earnings per share
Continuing operations	[3]	1.16	0.84	1.75		1.17
Discontinued operations	[3]	0	(0.02)	0		(0.02)
Diluted earnings per share	[3]	$ 1.16	$ 0.82	$ 1.75		$ 1.15
Service and membership fees
Net revenues
Net revenues		$ 410	$ 388	$ 812		$ 736
Vacation ownership interest sales
Net revenues
Net revenues		400	294	697		466
Consumer financing
Net revenues
Net revenues		99	102	198		201
Other
Net revenues
Net revenues		$ 13	$ 13	$ 24		$ 22

[1] Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

[2] Included in Restructuring on the Condensed Consolidated Statements of Income.

[3] Earnings per share amounts are calculated using whole numbers.

XML

Condensed Consolidated Statements of Comprehensive Income/(Loss) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income attributable to Travel + Leisure Co. shareholders	$ 100	$ 72	$ 151	$ 100
Foreign currency translation adjustments, net of tax	(33)	2	(30)	(11)
Other comprehensive (loss)/income, net of tax	(33)	2	(30)	(11)
Comprehensive income	$ 67	$ 74	$ 121	$ 89

XML

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Jun. 30, 2022	Dec. 31, 2021
Assets
Cash and cash equivalents	$ 241	$ 369
Restricted cash (VIE - $83 as of 2022 and $84 as of 2021)	137	128
Trade receivables, net	142	131
Vacation ownership contract receivables, net (VIE - $1,992 as of 2022 and $2,061 as of 2021)	2,304	2,309
Inventory	1,192	1,216
Prepaid expenses	211	227
Property and equipment, net	730	689
Goodwill	955	961
Other intangibles, net	213	219
Other assets	352	339
Total assets	6,477	6,588
Liabilities and (deficit)
Accounts payable	70	62
Accrued expenses and other liabilities	941	939
Deferred income	391	382
Non-recourse vacation ownership debt (VIE)	1,842	1,934
Debt	3,379	3,379
Deferred income taxes	700	686
Total liabilities	7,323	7,382
Commitments and contingencies (Note 16)
Stockholders' (deficit):
Preferred stock, $0.01 par value, authorized 6,000,000 shares, none issued and outstanding	0	0
Common stock, $0.01 par value, 600,000,000 shares authorized, 222,726,725 issued as of 2022 and 222,250,970 as of 2021	2	2
Treasury stock, at cost – 138,847,397 shares as of 2022 and 136,320,631 shares as of 2021	(6,663)	(6,534)
Additional paid-in capital	4,217	4,192
Retained earnings	1,668	1,587
Accumulated other comprehensive loss	(78)	(48)
Total stockholders’ (deficit)	(854)	(801)
Noncontrolling interest	8	7
Total (deficit)	(846)	(794)
Total liabilities and (deficit)	$ 6,477	$ 6,588

XML

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Jun. 30, 2022	Dec. 31, 2021
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	6,000,000	6,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred Stock, Shares Outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	600,000,000	600,000,000
Common Stock, Shares, Issued (in shares)	222,726,725	222,250,970
Treasury stock, shares (in shares)	138,847,397	136,320,631
Restricted cash (VIE - $83 as of 2022 and $84 as of 2021)	$ 137	$ 128
Vacation ownership contract receivables, net (VIE - $1,992 as of 2022 and $2,061 as of 2021)	2,304	2,309
Non-recourse vacation ownership debt (VIE)	1,842	1,934
Variable Interest Entity, Primary Beneficiary [Member]
Restricted cash (VIE - $83 as of 2022 and $84 as of 2021)	83	84
Vacation ownership contract receivables, net (VIE - $1,992 as of 2022 and $2,061 as of 2021)	1,992	2,061
Non-recourse vacation ownership debt (VIE)	$ 1,842	$ 1,934

XML

Statement of Cash Flows (Statement) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Operating activities
Net income	$ 151	$ 100
Loss on disposal of discontinued business, net of income taxes	0	2
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan losses	125	71
Depreciation and amortization	61	63
Stock-based compensation	24	16
Deferred income taxes	16	(19)
Non-cash interest	10	12
Non-cash lease expense	8	8
Asset recoveries, net	(1)	0
Other, net	17	3
Net change in assets and liabilities, excluding the impact of acquisitions and dispositions:
Trade receivables	(11)	4
Vacation ownership contract receivables	(128)	90
Inventory	(8)	(40)
Accounts payable, accrued expenses, prepaid expenses, other assets and other liabilities	(41)	14
Deferred income	7	(34)
Net cash provided by operating activities	230	290
Investing activities
Property and equipment additions	(24)	(25)
Purchase of investments	(6)	0
Acquisitions	0	(37)
Other, net	1	0
Net cash used in investing activities	(29)	(62)
Financing activities
Proceeds from non-recourse vacation ownership debt	655	709
Principal payments on non-recourse vacation ownership debt	(742)	(922)
Proceeds from debt	0	10
Principal payments on debt	(4)	(560)
Repayment of notes	(2)	(252)
Repurchase of common stock	(127)	0
Payment of deferred acquisition consideration	(19)	(20)
Dividends to shareholders	(70)	(53)
Net share settlement of incentive equity awards	(6)	(9)
Debt issuance/modification costs	(6)	(8)
Proceeds from issuance of common stock	6	7
Net cash used in financing activities	(315)	(1,098)
Effect of changes in exchange rates on cash, cash equivalents and restricted cash	(5)	(1)
Net change in cash, cash equivalents and restricted cash	(119)	(871)
Cash, cash equivalents and restricted cash, beginning of period	497	1,317
Cash, cash equivalents and restricted cash, end of period	378	446
Less: Restricted cash	137	118
Cash and cash equivalents	$ 241	$ 328

XML

Statement of Shareholders' Equity (Statement) - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Treasury Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Non-controlling Interest
Shares, Issued, Beginning Balance at Dec. 31, 2020		85.9
Beginning Balance, value at Dec. 31, 2020	$ (968)	$ 2	$ (6,508)	$ 4,157	$ 1,390	$ (16)	$ 7
Net income attributable to Travel + Leisure Co. shareholders	29				29
Other comprehensive (loss)/income, net of tax	(13)					(13)
Stock option exercises, count		0.1
Stock option exercises, value	3			3
Issuance of shares for RSU vesting		0.2
Share-Based Payment Arrangement, Decrease for Tax Withholding Obligation	(7)			(7)
Change in stock-based compensation	7			7
Dividends, common stock	$ (27)				(27)
Common Stock, Dividends, Per Share, Cash Paid	$ 0.30
Shares, Issued, Ending Balance at Mar. 31, 2021		86.2
Ending Balance, value at Mar. 31, 2021	$ (976)	$ 2	(6,508)	4,160	1,392	(29)	7
Shares, Issued, Beginning Balance at Dec. 31, 2020		85.9
Beginning Balance, value at Dec. 31, 2020	(968)	$ 2	(6,508)	4,157	1,390	(16)	7
Net income attributable to Travel + Leisure Co. shareholders	100
Other comprehensive (loss)/income, net of tax	(11)
Shares, Issued, Ending Balance at Jun. 30, 2021		86.4
Ending Balance, value at Jun. 30, 2021	(918)	$ 2	(6,508)	4,171	1,437	(27)	7
Shares, Issued, Beginning Balance at Mar. 31, 2021		86.2
Beginning Balance, value at Mar. 31, 2021	(976)	$ 2	(6,508)	4,160	1,392	(29)	7
Net income attributable to Travel + Leisure Co. shareholders	72				72
Other comprehensive (loss)/income, net of tax	2					2
Stock option exercises, value	1			1
Issuance of shares for RSU vesting		0.1
Share-Based Payment Arrangement, Decrease for Tax Withholding Obligation	(2)			(2)
Employee stock purchase program issuances	3			3
Stock Issued During Period, Shares, Employee Stock Purchase Plans		0.1
Change in stock-based compensation	9			9
Dividends, common stock	$ (27)				(27)
Common Stock, Dividends, Per Share, Cash Paid	$ 0.30
Shares, Issued, Ending Balance at Jun. 30, 2021		86.4
Ending Balance, value at Jun. 30, 2021	$ (918)	$ 2	(6,508)	4,171	1,437	(27)	7
Shares, Issued, Beginning Balance at Dec. 31, 2021		85.9
Beginning Balance, value at Dec. 31, 2021	(794)	$ 2	(6,534)	4,192	1,587	(48)	7
Net income attributable to Travel + Leisure Co. shareholders	51				51
Other comprehensive (loss)/income, net of tax	3					3
Issuance of shares for RSU vesting		0.3
Share-Based Payment Arrangement, Decrease for Tax Withholding Obligation	(5)			(5)
Change in stock-based compensation	12			12
Repurchase of common stock, count		(0.8)
Repurchase of common stock, value	(45)		(45)
Dividends, common stock	$ (35)				(35)
Common Stock, Dividends, Per Share, Cash Paid	$ 0.40
Non-controlling interest ownership change	$ 1						1
Other	1			1
Shares, Issued, Ending Balance at Mar. 31, 2022		85.4
Ending Balance, value at Mar. 31, 2022	(811)	$ 2	(6,579)	4,200	1,603	(45)	8
Shares, Issued, Beginning Balance at Dec. 31, 2021		85.9
Beginning Balance, value at Dec. 31, 2021	(794)	$ 2	(6,534)	4,192	1,587	(48)	7
Net income attributable to Travel + Leisure Co. shareholders	151
Other comprehensive (loss)/income, net of tax	(30)
Shares, Issued, Ending Balance at Jun. 30, 2022		83.9
Ending Balance, value at Jun. 30, 2022	(846)	$ 2	(6,663)	4,217	1,668	(78)	8
Shares, Issued, Beginning Balance at Mar. 31, 2022		85.4
Beginning Balance, value at Mar. 31, 2022	(811)	$ 2	(6,579)	4,200	1,603	(45)	8
Net income attributable to Travel + Leisure Co. shareholders	100				100
Other comprehensive (loss)/income, net of tax	(33)					(33)
Issuance of shares for RSU vesting		0.1
Share-Based Payment Arrangement, Decrease for Tax Withholding Obligation	(1)			(1)
Employee stock purchase program issuances	5			5
Stock Issued During Period, Shares, Employee Stock Purchase Plans		0.1
Change in stock-based compensation	12			12
Repurchase of common stock, count		(1.7)
Repurchase of common stock, value	(83)		(83)
Dividends, common stock	$ (35)				(35)
Common Stock, Dividends, Per Share, Cash Paid	$ 0.40
Other	$ 0		(1)	1
Shares, Issued, Ending Balance at Jun. 30, 2022		83.9
Ending Balance, value at Jun. 30, 2022	$ (846)	$ 2	$ (6,663)	$ 4,217	$ 1,668	$ (78)	$ 8

XML

Background and Basis of Presentation

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization, Consolidation and Presentation of Financial Statements Disclosure

Background and Basis of Presentation

Background

Travel + Leisure Co. and its subsidiaries (collectively, “Travel + Leisure Co.,” or the “Company”) is a global provider of hospitality services and travel products. The Company has two reportable segments: Vacation Ownership and Travel and Membership.

The Vacation Ownership segment develops, markets, and sells vacation ownership interests (“VOIs”) to individual consumers, provides consumer financing in connection with the sale of VOIs, and provides property management services at resorts. This segment is wholly comprised of the Wyndham Destinations business line. The following brands operate under the Wyndham Destinations business line: Club Wyndham, WorldMark by Wyndham, Shell Vacations Club, Margaritaville Vacation Club by Wyndham, Presidential Reserve by Wyndham, and Extra Holidays. Due to changes in organizational structure in the second quarter of 2022, the management of Extra Holidays was transitioned to the Vacation Ownership segment. As such, the Company reclassified the results of Extra Holidays, which was previously reported within the Travel and Membership segment, into the Vacation Ownership segment. Prior period segment information has been updated to reflect this change.

The Travel and Membership segment operates a variety of travel businesses, including three vacation exchange brands, a home exchange network, travel technology platforms, travel memberships, and direct-to-consumer rentals. This segment is comprised of the Panorama and Travel + Leisure Group business lines. The following brands operate under the Panorama business line: RCI, Panorama Travel Solutions, Alliance Reservations Network (“ARN”), 7Across, The Registry Collection, and Love Home Swap. The Travel + Leisure Group operates Travel + Leisure GO and Travel + Leisure Travel Clubs.

Basis of Presentation

The accompanying unaudited Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q include the accounts and transactions of Travel + Leisure Co., as well as the entities in which Travel + Leisure Co. directly or indirectly has a controlling financial interest. The accompanying Condensed Consolidated Financial Statements have been prepared in accordance with Generally Accepted Accounting Principles in the U.S. (“GAAP”). All intercompany balances and transactions have been eliminated in the Condensed Consolidated Financial Statements. In addition, prior period segment results have been updated to reflect the aforementioned reclassification of the Extra Holidays business into the Vacation Ownership segment.

The Company presents an unclassified balance sheet which conforms to that of the Company’s peers and industry practice.

In presenting the Condensed Consolidated Financial Statements, management makes estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosures. Estimates, by their nature, are based on judgment and available information. Accordingly, actual results could differ from those estimates and assumptions. In management’s opinion, the Condensed Consolidated Financial Statements contain all normal recurring adjustments necessary for a fair presentation of interim results reported. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These Condensed Consolidated Financial Statements should be read in conjunction with the Company’s 2021 Consolidated Financial Statements included in its Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 23, 2022.

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New Accounting Pronouncements

6 Months Ended

Jun. 30, 2022

Accounting Changes and Error Corrections [Abstract]

New Accounting Pronouncements

New Accounting Pronouncements

Recently Issued Accounting Pronouncements

Contract Assets and Contract Liabilities from Contracts with Customers Acquired in a Business Combination. In October 2021, the Financial Accounting Standards Board (“FASB”) issued guidance which requires companies to apply Accounting Standards Codification (“ASC”) 606 to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination. This creates an exception to the general recognition and measurement principle in ASC 805. This generally will result in companies recognizing contract assets and contract liabilities at amounts consistent with those recorded by the acquiree immediately before the acquisition date. This guidance is effective for fiscal

years beginning after December 15, 2022, including interim periods within those fiscal years. The amendments should be applied prospectively to business combinations occurring on or after the effective date. Early adoption is permitted. As this guidance would only be applicable to future business combinations, the Company is currently unable to determine the impact of adopting this guidance.

Government Assistance. In November 2021, the FASB issued guidance which requires business entities to provide certain disclosures when they have received government assistance and used a grant or contribution accounting model by analogy to other accounting guidance. The guidance is effective for financial statements issued for annual periods beginning after December 15, 2021. The adoption of this guidance is not expected to have a material impact on the Company’s Consolidated Financial Statements or related disclosures.

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Revenue Recognition

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenue Recognition

Revenue Recognition

Vacation Ownership

The Company develops, markets, and sells VOIs to individual consumers, provides consumer financing in connection with the sale of VOIs, and provides property management services at resorts. The Company’s sales of VOIs are either cash sales or developer-financed sales. Developer-financed sales are typically collateralized by the underlying VOI. Revenue is recognized on VOI sales upon transfer of control, which is defined as the point in time when a binding sales contract has been executed, the financing contract has been executed for the remaining transaction price, the statutory rescission period has expired, and the transaction price has been deemed to be collectible.

For developer-financed sales, the Company reduces the VOI sales transaction price by an estimate of uncollectible consideration at the time of the sale. The Company’s estimates of uncollectible amounts are based largely on the results of the Company’s static pool analysis which relies on historical payment data by customer class.

In connection with entering into a VOI sale, the Company may provide its customers with certain non-cash incentives, such as credits for future stays at its resorts. For those VOI sales, the Company bifurcates the sale and allocates the sales price between the VOI sale and the non-cash incentive. Non-cash incentives generally have expiration periods of 18 months or less and are recognized at a point in time upon transfer of control.

The Company provides day-to-day property management services including oversight of housekeeping services, maintenance, and certain accounting and administrative services for property owners’ associations and clubs. These services may also include reservation and resort renovation activities. Such agreements are generally for terms of one year or less and are renewed automatically on an annual basis. The Company’s management agreements contain cancellation clauses, which allow for either party to cancel the agreement, by either a majority board vote or a majority vote of non-developer interests. The Company receives fees for such property management services which are collected monthly in advance and are based upon total costs to operate such resorts (or as services are provided in the case of resort renovation activities). Fees for property management services typically approximate 10% of budgeted operating expenses. The Company is entitled to consideration for reimbursement of costs incurred on behalf of the property owners’ association in providing management services (“reimbursable revenue”). These reimbursable costs principally relate to the payroll costs for management of the associations, club and resort properties where the Company is the employer and are reflected as a component of Operating expenses on the Condensed Consolidated Statements of Income. The Company reduces its management fees for amounts it has paid to the property owners’ association that reflect maintenance fees for VOIs for which it retains ownership, as the Company has concluded that such payments are consideration payable to a customer.

Property management fee revenues are recognized when the services are performed and are recorded as a component of Service and membership fees on the Condensed Consolidated Statements of Income. Property management revenues, which are comprised of management fee revenue and reimbursable revenue were (in millions) (a):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Management fee revenues	$	106	$	96	$	207	$	188
Reimbursable revenues	83		70		167		139
Property management revenues	$	189	$	166	$	374	$	327

(a)Reflects the impact of reclassifying the Extra Holidays business line from the Travel and Membership segment to the Vacation Ownership segment.

One of the associations that the Company manages paid its Travel and Membership segment $9 million and $7 million for exchange services during the three months ended June 30, 2022 and 2021, and $17 million and $14 million during the six months ended June 30, 2022 and 2021.

Travel and Membership

Travel and Membership derives a majority of its revenues from membership dues and fees for facilitating members’ trading of their intervals. Revenues from membership dues represent the fees paid by members or affiliated clubs on their behalf. The Company recognizes revenues from membership dues paid by the member on a straight-line basis over the membership period as the performance obligations are fulfilled through delivery of publications, if applicable, and by providing access to travel-related products and services. Estimated net contract consideration payable by affiliated clubs for memberships is recognized as revenue over the term of the contract with the affiliated club in proportion to the estimated average monthly member count. Such estimates are adjusted periodically for changes in the actual and forecasted member activity. For additional fees, members have the right to exchange their intervals for intervals at other properties affiliated with the Company’s vacation exchange networks and, for certain members, for other leisure-related services and products. The Company also derives revenue from facilitating bookings of travel accommodations for Travel Club members. Revenue is recognized when these transactions have been confirmed, net of expected cancellations, except in certain transactions where the Company has a performance obligation that is not satisfied until the time of stay.

As a provider of vacation exchange services, the Company enters into affiliation agreements with developers of vacation ownership properties to allow owners of VOIs to trade their intervals for intervals at other properties affiliated with the Company’s vacation exchange network and, for some members, for other leisure-related services and products.

The Company’s vacation exchange business also derives revenues from programs with affiliated resorts, club servicing, and loyalty programs; and additional exchange-related products that provide members with the ability to protect trading power or points, extend the life of deposits, and combine two or more deposits for the opportunity to exchange into intervals with higher trading power. Other vacation exchange related product fees are deferred and recognized as revenue upon the occurrence of a future exchange, event, or other related transaction.

The Company earns revenue from its RCI Elite Rewards co–branded credit card program, which is primarily generated by cardholder spending and the enrollment of new cardholders. The advance payments received under the program are recognized as a contract liability until the Company’s performance obligations have been satisfied. The primary performance obligation for the program relates to brand performance services. Total contract consideration is estimated and recognized on a straight-line basis over the contract term.

Other Items

The Company records property management services revenues for its Vacation Ownership segment and RCI Elite Rewards revenues for its Travel and Membership segments gross as a principal.

Contract Liabilities

Contract liabilities generally represent payments or consideration received in advance for goods or services that the Company has not yet transferred to the customer. Contract liabilities as of June 30, 2022 and December 31, 2021, were as follows (in millions):

	June 30, 2022		December 31, 2021
Deferred subscription revenue	$	169	$	166
Deferred VOI trial package revenue	88		85
Deferred VOI incentive revenue	60		55
Deferred exchange-related revenue (a)	59		61
Deferred co-branded credit card programs revenue	10		12
Deferred other revenue	5		3
Total	$	391	$	382

(a)Includes contractual liabilities to accommodate members for cancellations initiated by the Company due to unexpected events. These amounts are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

In the Company’s Vacation Ownership business, deferred VOI trial package revenue represents consideration received in advance for a trial VOI, which allows customers to utilize a vacation package typically within one year of purchase. Deferred VOI incentive revenue represents payments received in advance for additional travel-related services and products at the time of a VOI sale. Revenue is recognized when a customer utilizes the additional services and products, which is typically within one year of the VOI sale.

Within the Company’s Travel and Membership business, deferred subscription revenue represents billings and payments received in advance from members and affiliated clubs for memberships in the Company’s travel programs which are recognized in future periods. Deferred revenue primarily represents payments received in advance from members for the right to access the Company’s vacation travel network to book vacation exchanges and rent travel accommodations which are recognized on a straight-line basis over the contract period, generally within one year. Deferred revenue also includes other leisure-related service and product revenues which are recognized as customers utilize the associated benefits.

Changes in contract liabilities follow (in millions):

	Six Months Ended
	June 30,
	2022		2021
Beginning balance	$	382	$	448
Additions	153		145
Revenue recognized	(144)		(174)
Ending balance	$	391	$	419

Capitalized Contract Costs

The Vacation Ownership segment incurs certain direct and incremental selling costs in connection with VOI trial package and incentive revenues. Such costs are capitalized and subsequently amortized over the utilization period, which is typically within one year of the sale. As of June 30, 2022 and December 31, 2021, these capitalized costs were $29 million and $28 million and are included within Other assets on the Condensed Consolidated Balance Sheets.

The Travel and Membership segment incurs certain direct and incremental selling costs to obtain contracts with customers in connection with subscription revenues and exchange–related revenues. Such costs, which are primarily comprised of commissions paid to internal and external parties and credit card processing fees, are deferred at the inception of the contract and recognized when the benefit is transferred to the customer. As of June 30, 2022 and December 31, 2021, these capitalized costs were $18 million and $19 million; and are included within Other assets on the Condensed Consolidated Balance Sheets.

Practical Expedients

The Company has not adjusted the consideration for the effects of a significant financing component if it expected, at contract inception, that the period between when the Company will satisfy the performance obligation and when the customer will pay for that good or service will be one year or less.

Performance Obligations

A performance obligation is a promise in a contract with a customer to transfer a distinct good or service to the customer. The consideration received from a customer is allocated to each distinct performance obligation and recognized as revenue when, or as, each performance obligation is satisfied.

The following table summarizes the Company’s remaining performance obligations for the 12-month periods set forth below (in millions):

	7/1/2022 - 6/30/2023		7/1/2023 - 6/30/2024		7/1/2024 - 6/30/2025		Thereafter		Total
Subscription revenue	$	98	$	38	$	17	$	16	$	169
VOI trial package revenue	83		1		4		—		88
VOI incentive revenue	60		—		—		—		60
Exchange-related revenue	55		3		1		—		59
Co-branded credit card programs revenue	3		3		3		1		10
Other revenue	5		—		—		—		5
Total	$	304	$	45	$	25	$	17	$	391

Disaggregation of Net Revenues

The table below presents a disaggregation of the Company’s net revenues from contracts with customers by major services and products for each of the Company’s segments (in millions) (a):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Vacation Ownership
Vacation ownership interest sales (b)	$	400	$	294	$	697	$	466
Property management fees and reimbursable revenues	189		166		374		327
Consumer financing	99		102		198		201
Fee-for-Service commissions	34		29		51		41
Ancillary revenues	13		13		24		22
Total Vacation Ownership	735		604		1,344		1,057
Travel and Membership
Transaction revenues	135		143		282		268
Subscription revenues	45		43		90		84
Ancillary revenues	8		8		17		18
Total Travel and Membership	188		194		389		370
Corporate and other
Eliminations	(1)		(1)		(2)		(2)
Total Corporate and other	(1)		(1)		(2)		(2)
Net revenues	$	922	$	797	$	1,731	$	1,425

(a)This table reflects the reclassification of Extra Holidays from the Travel and Membership segment into the Vacation Ownership segment for all periods presented. Extra Holidays revenue is included within Property management fees and reimbursable revenues.

(b)The Company increased its loan loss allowance by $205 million during 2020, due to an expected increase in net new defaults driven by higher unemployment associated with the novel coronavirus global pandemic (“COVID-19”). During the second quarter of 2021, the Company analyzed the adequacy of this COVID-19 related allowance consistent with past methodology, resulting in a $26 million reversal which is reflected as an increase in Vacation ownership interest sales on the Condensed Consolidated Statements of Income during the three and six months ended June 30, 2021.

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Earnings Per Share

6 Months Ended

Jun. 30, 2022

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

The computations of basic and diluted earnings per share (“EPS”) are based on Net income attributable to Travel + Leisure Co. shareholders divided by the basic weighted average number of common shares and diluted weighted average number of common shares outstanding. The following table sets forth the computations of basic and diluted EPS (in millions, except per share data):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Net income from continuing operations attributable to Travel + Leisure Co. shareholders	$	100	$	74	$	151	$	102
Loss on disposal of discontinued business attributable to Travel + Leisure Co. shareholders, net of income taxes	—		(2)		—		(2)
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Basic earnings per share (a)
Continuing operations	$	1.17	$	0.85	$	1.76	$	1.18
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.17	$	0.83	$	1.76	$	1.16
Diluted earnings per share (a)
Continuing operations	$	1.16	$	0.84	$	1.75	$	1.17
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.16	$	0.82	$	1.75	$	1.15
Basic weighted average shares outstanding	85.0		86.5		85.5		86.4
Stock-settled appreciation rights (“SSARs”), RSUs,(b) PSUs (c) and NQs (d)	0.7		0.9		0.9		0.7
Diluted weighted average shares outstanding (e)	85.7		87.4		86.4		87.1
Dividends:
Aggregate dividends paid to shareholders	$	35	$	27	$	70	$	53

(a)Earnings per share amounts are calculated using whole numbers.

(b)Excludes 0.7 million and 0.8 million of restricted stock units (“RSUs”) that would have been anti-dilutive to EPS for the three and six months ended June 30, 2022. These shares could potentially dilute EPS in the future.

(c)Excludes performance-vested restricted stock units (“PSUs”) of 0.6 million for both the three and six months ended June 30, 2022 and 0.4 million PSUs for both the three and six months ended June 30, 2021, as the Company has not met the required performance metrics. These PSUs could potentially dilute EPS in the future.

(d)Excludes 1.1 million of outstanding non-qualified stock options (“NQs”) that would have been anti-dilutive to EPS for both the three and six months ended June 30, 2022 and 1.4 million of outstanding NQs for both the three and six months ended June 30, 2021. These outstanding NQs could potentially dilute EPS in the future.

(e)The dilutive impact of the Company’s potential common stock is computed utilizing the treasury stock method using average market prices during the period.

Share Repurchase Program

The following table summarizes stock repurchase activity under the current share repurchase program (in millions):

	Shares	Cost
As of December 31, 2021	111.8	$	5,753
Repurchases	2.5	128
As of June 30, 2022	114.3	$	5,881

During the second quarter of 2022, the Company’s Board of Directors increased the authorization for the Company’s share repurchase program by $500 million. As of June 30, 2022, the Company had $700 million of remaining availability under its program.

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Acquisitions	6 Months Ended
	Jun. 30, 2022
Business Combinations [Abstract]
Acquisitions	Acquisitions Travel + Leisure. On January 5, 2021, the Company acquired the Travel + Leisure brand from Meredith Corporation for $100 million, $35 million of which was paid at closing and is reflected as cash used in Investing activities on the Condensed Consolidated Statements of Cash Flows. The Company made additional payments of $20 million each in the second quarter of 2022 and 2021, the majority of which is reflected as cash used in Financing activities on the Condensed Consolidated Statements of Cash Flows. The remaining payments are to be completed by June 2024. This transaction was accounted for as an asset acquisition, with the full consideration allocated to the related trademark indefinite-lived intangible asset. The Company acquired the Travel + Leisure brand to accelerate its strategic plan to broaden its reach with the launch of new travel services, expand its membership travel business, and amplify the global visibility of its leisure travel products.

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Discontinued Operations	6 Months Ended
	Jun. 30, 2022
Discontinued Operations and Disposal Groups [Abstract]
Discontinued Operations	Discontinued OperationsDuring 2018, the Company completed the spin-off of its hotel business (“Spin-off”) Wyndham Hotels & Resorts, Inc. (“Wyndham Hotels”) and the sale of its European vacation rentals business. As a result, the Company has classified the results of operations for these businesses as discontinued operations in its Condensed Consolidated Financial Statements and related notes. Discontinued operations include direct expenses clearly identifiable to the businesses being discontinued. The Company does not expect to incur significant ongoing expenses classified as discontinued operations except for certain tax adjustments that may be required as final tax returns are completed. The Company recognized a Loss on disposal of discontinued business, net of income taxes of $2 million during the three and six months ended June 30, 2021.

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Vacation Ownership Contract Receivables

6 Months Ended

Jun. 30, 2022

Vacation Ownership Contract Receivables [Abstract]

Vacation Ownership Contract Receivables

Vacation Ownership Contract Receivables

The Company generates vacation ownership contract receivables (“VOCRs”) by extending financing to the purchasers of its VOIs. Vacation ownership contract receivables, net consisted of (in millions):

	June 30, 2022		December 31, 2021
Vacation ownership contract receivables:
Securitized (a)	$	1,992	$	2,061
Non-securitized (b)	824		758
Vacation ownership contract receivables, gross	2,816		2,819
Less: allowance for loan losses	512		510
Vacation ownership contract receivables, net	$	2,304	$	2,309

(a)Excludes $15 million and $17 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

(b)Excludes $7 million and $5 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

During the three and six months ended June 30, 2022, the Company’s securitized VOCRs generated interest income of $72 million and $141 million. During the three and six months ended June 30, 2021, the Company’s securitized VOCRs generated interest income of $77 million and $156 million. Such interest income is included within Consumer financing revenue on the Condensed Consolidated Statements of Income.

During the six months ended June 30, 2022 and 2021, the Company had net VOCR originations of $555 million and $299 million, and received principal collections of $427 million and $389 million. The weighted average interest rate on outstanding VOCRs was 14.6% and 14.5% as of June 30, 2022 and December 31, 2021.

The activity in the allowance for loan losses on VOCRs was as follows (in millions):

	Six Months Ended
	June 30,
	2022		2021
Allowance for loan losses, beginning balance	$	510	$	693
Provision for loan losses, net	125		71
Contract receivables write-offs, net	(123)		(191)
Allowance for loan losses, ending balance	$	512	$	573

Due to the economic downturn resulting from the novel coronavirus global pandemic (“COVID-19”) during the first quarter of 2020, the Company evaluated the potential impact of COVID-19 on its owners’ ability to repay their contract receivables and as a result of current and projected unemployment rates at that time, the Company recorded a COVID-19 related allowance for loan losses. The Company based its COVID-19 loan loss estimate upon historical data on the relationship between unemployment rates and net new defaults observed during the most recent recession in 2008. This allowance consisted of a $225 million COVID-19 related provision, which was reflected as a reduction to Vacation ownership interest sales and $55 million of estimated recoveries, which were reflected as a reduction to Cost of vacation ownership interests on the Condensed Consolidated Statements of Income. Since the first quarter of 2020, the Company has performed quarterly evaluations of the impact of COVID-19 on its owners’ ability to repay their contract receivables and, as a result of improvement in net new defaults and lower than expected unemployment rates, reduced this allowance resulting in a $111 million increase to Vacation ownership interest sales with a corresponding $40 million increase in Cost of vacation ownership interests. Included within these amounts is a partial allowance reversal which occurred in the second quarter of 2021 resulting in a $26 million increase to Vacation ownership interest sales and a corresponding $10 million increase to Cost of vacation ownership interests on the Condensed Consolidated Statements of Income during the prior year. After considering write-offs and the allowance for remaining likely defaults associated with loans that were granted payment deferrals, the Company has not had a COVID-19 related allowance since December 31, 2021.

The Company recorded net provisions for loan losses of $76 million and $125 million as a reduction of net revenues during the three and six months ended June 30, 2022, and $33 million and $71 million for the three and six months ended June 30, 2021.

Credit Quality for Financed Receivables and the Allowance for Credit Losses

The basis of the differentiation within the identified class of financed VOI contract receivables is the consumer’s Fair Isaac Corporation (“FICO”) score. A FICO score is a branded version of a consumer credit score widely used within the U.S. by the largest banks and lending institutions. FICO scores range from 300 to 850 and are calculated based on information obtained from one or more of the three major U.S. credit reporting agencies that compile and report on a consumer’s credit history. The Company updates its records for all active VOI contract receivables with a balance due on a rolling monthly basis to ensure that all VOI contract receivables are scored at least every six months. The Company groups all VOI contract receivables into five different categories: FICO scores ranging from 700 to 850, from 600 to 699, below 600, no score (primarily comprised of consumers for whom a score is not readily available, including consumers declining access to FICO scores and non-U.S. residents), and Asia Pacific (comprised of receivables in the Company’s Vacation Ownership Asia Pacific business for which scores are not readily available).

The following table details an aging analysis of financing receivables using the most recently updated FICO scores, based on the policy described above (in millions):

	As of June 30, 2022
	700+		600-699		<600		No Score		Asia Pacific		Total
Current	$	1,656	$	734	$	102	$	68	$	153	$	2,713
31 - 60 days	14		22		10		2		1		49
61 - 90 days	9		12		8		1		1		31
91 - 120 days	5		9		8		1		—		23
Total (a)	$	1,684	$	777	$	128	$	72	$	155	$	2,816
	As of December 31, 2021
	700+		600-699		<600		No Score		Asia Pacific		Total
Current	$	1,630	$	734	$	98	$	72	$	169	$	2,703
31 - 60 days	17		24		10		3		1		55
61 - 90 days	9		12		7		1		—		29
91 - 120 days	9		12		9		1		1		32
Total (a)	$	1,665	$	782	$	124	$	77	$	171	$	2,819

(a)Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

The Company ceases to accrue interest on VOI contract receivables once the contract has remained delinquent for greater than 90 days and reverses all of the associated accrued interest recognized to date against interest income included within Consumer financing revenue on the Condensed Consolidated Statements of Income. At greater than 120 days, the VOI contract receivable is written off to the allowance for loan losses. In accordance with its policy, the Company assesses the allowance for loan losses using a static pool methodology and thus does not assess individual loans for impairment.

The following table details the year of origination of financing receivables using the most recently updated FICO scores, based on the policy described above (in millions):

	As of June 30, 2022
	700+		600-699		<600		No Score		Asia Pacific		Total
2022	$	428	$	142	$	2	$	14	$	37	$	623
2021	365		210		33		3		25		636
2020	173		77		15		5		18		288
2019	246		127		30		15		24		442
2018	198		92		20		12		19		341
Prior	274		129		28		23		32		486
Total	$	1,684	$	777	$	128	$	72	$	155	$	2,816
	As of December 31, 2021
	700+		600-699		<600		No Score		Asia Pacific		Total
2021	$	534	$	221	$	11	$	11	$	38	$	815
2020	224		105		17		6		38		390
2019	324		168		37		19		33		581
2018	234		117		25		14		24		414
2017	157		76		15		11		14		273
Prior	192		95		19		16		24		346
Total	$	1,665	$	782	$	124	$	77	$	171	$	2,819

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Inventory

6 Months Ended

Jun. 30, 2022

Inventory Disclosure [Abstract]

Inventory

Inventory

Inventory consisted of (in millions):

	June 30, 2022		December 31, 2021
Completed VOI inventory	$	961	$	998
Estimated VOI recoveries	184		187
VOI construction in process	37		13
Inventory sold subject to repurchase	6		13
Vacation exchange credits and other	3		4
Land held for VOI development	1		1
Total inventory	$	1,192	$	1,216

The Company had net transfers of VOI inventory to property and equipment of $71 million and $11 million during the six months ended June 30, 2022 and 2021.

Inventory Obligations

The Company has entered into inventory sale transactions with third-party developers for which the Company has conditional rights and obligations to repurchase the completed properties from the developers subject to the properties conforming to the Company’s vacation ownership resort standards and provided that the third-party developers have not sold the properties to another party. Under the sale of real estate accounting guidance, the conditional rights and obligations of the Company constitute continuing involvement and thus the Company is unable to account for these transactions as sales.

The following table summarizes the activity related to the Company’s inventory obligations (in millions):

	Atlanta (a) (b)		Las Vegas (a)		Moab (a)		Orlando (a)		Other (c)		Total
December 31, 2021	$	—	$	13	$	—	$	—	$	1	$	14
Purchases	67		27		—		—		34		128
Payments	(67)		—		—		—		(26)		(93)
June 30, 2022	$	—	$	40	$	—	$	—	$	9	$	49
December 31, 2020	$	—	$	13	$	31	$	22	$	17	$	83
Purchases	—		2		25		1		39		67
Payments	—		(2)		(56)		(5)		(46)		(109)
June 30, 2021	$	—	$	13	$	—	$	18	$	10	$	41

(a)Included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

(b)Represents vacation ownership inventory and property and equipment in Atlanta, Georgia acquired from a third-party developer.

(c)Included in Accounts payable on the Condensed Consolidated Balance Sheets.

The Company has committed to repurchase completed property located in Las Vegas, Nevada from a third-party developer subject to the property meeting the Company’s vacation ownership resort standards and provided that the third-party developer has not sold the property to another party. The maximum potential future payments that the Company may be required to make under this commitment was $65 million as of June 30, 2022.

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Property and equipment

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment Disclosure [Text Block]

Property and Equipment

Property and equipment, net consisted of (in millions):

	June 30, 2022		December 31, 2021
Building and leasehold improvements	$	726	$	653
Capitalized software	716		707
Furniture, fixtures and equipment	206		204
Land	30		30
Finance leases	23		20
Construction in progress	20		18
Total property and equipment	1,721		1,632
Less: accumulated depreciation and amortization	991		943
Property and equipment, net	$	730	$	689

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Debt

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Debt

Debt

The Company’s indebtedness consisted of (in millions):

	June 30, 2022		December 31, 2021
Non-recourse vacation ownership debt: (a)
Term notes (b)	$	1,445	$	1,614
USD bank conduit facility (due July 2024) (c)	281		190
AUD/NZD bank conduit facility (due April 2023) (d)	116		130
Total	$	1,842	$	1,934
Debt: (e)
$1.0 billion secured revolving credit facility (due October 2026) (f)	$	—	$	—
$300 million secured term loan B (due May 2025) (g)	287		288
$400 million 3.90% secured notes (due March 2023) (h)	401		401
$300 million 5.65% secured notes (due April 2024)	299		299
$350 million 6.60% secured notes (due October 2025) (i)	346		345
$650 million 6.625% secured notes (due July 2026)	644		643
$400 million 6.00% secured notes (due April 2027) (j)	406		407
$650 million 4.50% secured notes (due December 2029)	641		641
$350 million 4.625% secured notes (due March 2030)	346		346
Finance leases	9		9
Total	$	3,379	$	3,379

(a)Represents non-recourse debt that is securitized through bankruptcy-remote special purpose entities, the creditors of which have no recourse to the Company for principal and interest. These outstanding borrowings (which legally are not liabilities of the Company) are collateralized by $2.11 billion and $2.17 billion of underlying gross VOCRs and related assets (which legally are not assets of the Company) as of June 30, 2022 and December 31, 2021.

(b)The carrying amounts of the term notes are net of deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021.

(c)The Company has a borrowing capacity of $600 million under the USD bank conduit facility through July 2024. Borrowings under this facility are required to be repaid as the collateralized receivables amortize but no later than August 2025.

(d)The Company has a borrowing capacity of 250 million Australian dollars (“AUD”) and 48 million New Zealand dollars (“NZD”) under the AUD/NZD bank conduit facility through April 2023. Borrowings under this facility are required to be repaid no later than May 2025.

(e)The carrying amounts of the secured notes and term loan are net of unamortized discounts of $18 million and $20 million as of June 30, 2022 and December 31, 2021, and net of unamortized debt financing costs of $7 million and $8 million as of June 30, 2022 and December 31, 2021.

(f)The weighted average effective interest rate on borrowings from this facility was 4.59% and 3.19% as of June 30, 2022 and December 31, 2021.

(g)The weighted average effective interest rate on borrowings from this facility was 2.73% and 2.39% as of June 30, 2022 and December 31, 2021.

(h)Includes $1 million and $2 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

(i)Includes $3 million and $4 million of unamortized losses from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

(j)Includes $8 million and $9 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

Sierra Timeshare 2022-1 Receivables Funding LLC

On March 23, 2022, the Company closed on a placement of a series of term notes payable, issued by Sierra Timeshare 2022-1 Receivables Fundings LLC, with an initial principal amount of $275 million, secured by VOCRs and bearing interest at a weighted average coupon rate of 3.84%. The advance rate for this transaction was 98%.

USD Bank Conduit Renewal

On March 4, 2022, the Company renewed its USD timeshare receivables conduit facility, extending the end of the commitment period from October 2022 to July 2024. The renewal included a reduction of the USD borrowing capacity from $800 million to $600 million. The facility bears interest based on variable commercial paper rates plus a spread or the Daily Simple Secured Overnight Financing Rate (“SOFR”) plus a spread.

Maturities and Capacity

The Company’s outstanding debt as of June 30, 2022, matures as follows (in millions):

	Non-recourse Vacation Ownership Debt		Debt		Total
Within 1 year	$	284	$	407	$	691
Between 1 and 2 years	184		305		489
Between 2 and 3 years	258		283		541
Between 3 and 4 years	360		346		706
Between 4 and 5 years	195		1,050		1,245
Thereafter	561		988		1,549
	$	1,842	$	3,379	$	5,221

Required principal payments on the non-recourse vacation ownership debt are based on the contractual repayment terms of the underlying VOCRs. Actual maturities may differ as a result of prepayments by the VOCR obligors.

As of June 30, 2022, available capacity under the Company’s borrowing arrangements was as follows (in millions):

	Non-recourse Conduit Facilities (a)		Revolving Credit Facilities (b)
Total capacity	$	803	$	1,000
Less: outstanding borrowings	397		—
Less: letters of credit	—		2
Available capacity	$	406	$	998

(a)Consists of the Company’s USD bank conduit facility and AUD/NZD bank conduit facility. The capacity of these facilities is subject to the Company’s ability to provide additional assets to collateralize additional non-recourse borrowings.

(b)Consists of the Company’s $1.0 billion secured revolving credit facility.

Debt Covenants

The revolving credit facilities and term loan B are subject to covenants including the maintenance of specific financial ratios as defined in the credit agreement. The original financial ratio covenants consist of a minimum interest coverage ratio of no less than 2.50 to 1.0 as of the measurement date and a maximum first lien leverage ratio not to exceed 4.25 to 1.0 as of the measurement date. The interest coverage ratio is calculated by dividing consolidated EBITDA (as defined in the credit agreement) by consolidated interest expense (as defined in the credit agreement), both as measured on a trailing 12-month basis preceding the measurement date. The first lien leverage ratio is calculated by dividing consolidated first lien debt (as defined in the credit agreement) as of the measurement date by consolidated EBITDA (as defined in the credit agreement) as measured on a trailing 12-month basis preceding the measurement date.

As a precautionary measure during 2020, the Company amended the credit agreement governing its revolving credit facility and term loan B (“First Amendment”). The First Amendment provided flexibility during a relief period spanning from July 15, 2020 through April 1, 2022, or upon earlier termination by the Company (“Relief Period”). Among other changes, the First Amendment established Relief Period restrictions regarding share repurchases, dividends, and acquisitions. During 2021, the Company renewed the credit agreement governing the revolving credit facilities and term loan B (“Second Amendment”). The Second Amendment terminated the Relief Period and the aforementioned Relief Period restrictions. Additionally, the Second Amendment stipulated a first lien leverage ratio financial covenant not to

exceed 4.75 to 1.0 which commenced with the December 31, 2021 period and extended through June 30, 2022, after which time it will return to 4.25 to 1.0 and reestablished the interest coverage ratio (as defined in the credit agreement) of no less than 2.50 to 1.0, the levels in place prior to COVID-19. The Second Amendment also reestablished the tiered pricing grid that was in place prior to COVID-19.

As of June 30, 2022, the Company’s interest coverage ratio was 4.62 to 1.0 and the first lien leverage ratio was 3.72 to 1.0. These ratios do not include interest expense or indebtedness related to any qualified securitization financing (as defined in the credit agreement). As of June 30, 2022, the Company was in compliance with the financial covenants described above.

As a result of the Company’s first lien leverage ratio decreasing below 3.75 to 1.0 during the period, the interest rate on revolver borrowings and fees associated with letters of credit will decrease 25 basis points in the third quarter of 2022. The interest rate on revolver borrowings and fees associated with letters of credit are subject to future decreases or increases based on the Company’s first lien leverage ratio.

Each of the Company’s non-recourse securitized term notes, and the bank conduit facilities contain various triggers relating to the performance of the applicable loan pools. If the VOCRs pool that collateralizes one of the Company’s securitization notes fails to perform within the parameters established by the contractual triggers (such as higher default or delinquency rates), there are provisions pursuant to which the cash flows for that pool will be maintained in the securitization as extra collateral for the note holders or applied to accelerate the repayment of outstanding principal to the note holders. As of June 30, 2022, all of the Company’s securitized loan pools were in compliance with applicable contractual triggers.

Interest Expense

The Company incurred interest expense of $47 million and $94 million during the three and six months ended June 30, 2022, excluding non-recourse vacation ownership debt, and including an offset of less than $1 million of capitalized interest during each period. Cash paid related to such interest was $94 million during the six months ended June 30, 2022.

The Company incurred interest expense of $47 million and $100 million during the three and six months ended June 30, 2021, excluding non-recourse vacation ownership debt, and including an offset of less than $1 million of capitalized interest during each period. Cash paid related to such interest was $105 million during the six months ended June 30, 2021.

Interest expense incurred in connection with the Company’s non-recourse vacation ownership debt was $17 million and $34 million during the three and six months ended June 30, 2022, and $20 million and $44 million during the three and six months ended June 30, 2021, and is recorded within Consumer financing interest on the Condensed Consolidated Statements of Income. Cash paid related to such interest was $24 million and $31 million for the six months ended June 30, 2022 and 2021.

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Variable Interest Entities

6 Months Ended

Jun. 30, 2022

Variable Interest Entity, Primary Beneficiary, Does Not Hold Majority Voting Interest, Disclosures [Abstract]

Variable Interest Entities

Variable Interest Entities

The Company analyzes its variable interests, including loans, guarantees, special purpose entities (“SPEs”), and equity investments, to determine if an entity in which the Company has a variable interest is a variable interest entity (“VIE”). If the entity is deemed to be a VIE, the Company consolidates those VIEs for which the Company is the primary beneficiary.

Vacation Ownership Contract Receivables Securitizations

The Company pools qualifying VOCRs and sells them to bankruptcy-remote entities. VOCRs qualify for securitization based primarily on the credit strength of the VOI purchaser to whom financing has been extended. VOCRs are securitized through bankruptcy-remote SPEs that are consolidated within the Company’s Condensed Consolidated Financial Statements. As a result, the Company does not recognize gains or losses resulting from these securitizations at the time of sale to the SPEs. Interest income is recognized when earned over the contractual life of the VOCRs. The Company services the securitized VOCRs pursuant to servicing agreements negotiated on an arm’s-length basis based on market conditions. The activities of these SPEs are limited to (i) purchasing VOCRs from the Company’s vacation ownership subsidiaries, (ii) issuing debt securities and/or borrowing under a conduit facility to fund such purchases, and (iii) entering into derivatives to hedge interest rate exposure. The bankruptcy-remote SPEs are legally separate from the Company. The receivables held by the bankruptcy-remote SPEs are not available to creditors of the Company and legally are not assets of the Company. Additionally, the non-recourse debt that is securitized through the SPEs is legally not a liability of the Company and thus, the creditors of these SPEs have no recourse to the Company for principal and interest.

The assets and liabilities of these vacation ownership SPEs are as follows (in millions):

	June 30, 2022		December 31, 2021
Securitized contract receivables, gross (a)	$	1,992	$	2,061
Securitized restricted cash (b)	83		84
Interest receivables on securitized contract receivables (c)	15		17
Other assets (d)	17		4
Total SPE assets	2,107		2,166
Non-recourse term notes (e) (f)	1,445		1,614
Non-recourse conduit facilities (e)	397		320
Other liabilities (g)	3		2
Total SPE liabilities	1,845		1,936
SPE assets in excess of SPE liabilities	$	262	$	230

(a)Included in Vacation ownership contract receivables, net on the Condensed Consolidated Balance Sheets.

(b)Included in Restricted cash on the Condensed Consolidated Balance Sheets.

(c)Included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

(d)Primarily includes deferred financing costs for the bank conduit facility and a security investment asset, which is included in Other assets on the Condensed Consolidated Balance Sheets.

(e)Included in Non-recourse vacation ownership debt on the Condensed Consolidated Balance Sheets.

(f)Includes deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021, related to non-recourse debt.

(g)Primarily includes accrued interest on non-recourse debt, which is included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

In addition, the Company has VOCRs that have not been securitized through bankruptcy-remote SPEs. Such gross receivables were $824 million and $758 million as of June 30, 2022 and December 31, 2021. A summary of total vacation ownership receivables and other securitized assets, net of securitized liabilities and the allowance for loan losses, is as follows (in millions):

	June 30, 2022		December 31, 2021
SPE assets in excess of SPE liabilities	$	262	$	230
Non-securitized contract receivables	824		758
Less: allowance for loan losses	512		510
Total, net	$	574	$	478

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Fair Value

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value

Fair Value

The Company measures its financial assets and liabilities at fair value on a recurring basis and utilizes the fair value hierarchy to determine such fair values. Financial assets and liabilities carried at fair value are classified and disclosed in one of the following three categories:

Level 1: Quoted prices for identical instruments in active markets.

Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value driver is observable.

Level 3: Unobservable inputs used when little or no market data is available.

In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement falls has been determined based on the lowest level input (closest to Level 3) that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.

The Company’s derivative instruments currently consist of interest rate caps and foreign exchange forward contracts.

As of June 30, 2022, the Company had foreign exchange contracts resulting in less than $1 million of assets which are included within Other assets and $1 million of liabilities which are included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets. On a recurring basis, such assets and liabilities are remeasured at estimated fair value (all of which are Level 2) and thus are equal to the carrying value.

The impact of interest rate caps was immaterial as of June 30, 2022 and 2021.

For assets and liabilities that are measured using quoted prices in active markets, the fair value is the published market price per unit multiplied by the number of units held without consideration of transaction costs. Assets and liabilities that are measured using other significant observable inputs are valued by reference to similar assets and liabilities. For these items, a significant portion of fair value is derived by reference to quoted prices of similar assets and liabilities in active markets. For assets and liabilities that are measured using significant unobservable inputs, fair value is primarily derived using a fair value model, such as a discounted cash flow model.

The fair value of financial instruments is generally determined by reference to market values resulting from trading on a national securities exchange or in an over-the-counter market. In cases where quoted market prices are not available, fair value is based on estimates using present value or other valuation techniques, as appropriate. The carrying amounts of cash and cash equivalents, restricted cash, trade receivables, accounts payable, and accrued expenses and other current liabilities approximate fair value due to the short-term maturities of these assets and liabilities.

The carrying amounts and estimated fair values of all other financial instruments were as follows (in millions):

	June 30, 2022				December 31, 2021
	Carrying Amount		Estimated Fair Value		Carrying  Amount		Estimated Fair Value
Assets
Vacation ownership contract receivables, net (Level 3)	$	2,304	$	2,863	$	2,309	$	2,858
Liabilities
Debt (Level 2)	$	5,221	$	4,895	$	5,313	$	5,514

The Company estimates the fair value of its VOCRs using a discounted cash flow model which it believes is comparable to the model that an independent third-party would use in the current market. The model uses Level 3 inputs consisting of default rates, prepayment rates, coupon rates, and loan terms for the contract receivables portfolio as key drivers of risk and relative value that, when applied in combination with pricing parameters, determines the fair value of the underlying contract receivables.

The Company estimates the fair value of its non-recourse vacation ownership debt by obtaining Level 2 inputs comprised of indicative bids from investment banks that actively issue and facilitate the secondary market for timeshare securities. The Company estimates the fair value of its debt, excluding finance leases, using Level 2 inputs based on indicative bids from investment banks and determines the fair value of its secured notes using quoted market prices (such secured notes are not actively traded).

During 2019, the Company closed on the sale of its North American vacation rentals business for $162 million. After customary closing adjustments, the Company received $156 million in cash and $10 million in Vacasa LLC (“Vacasa”) equity. During the fourth quarter of 2021, Vacasa merged with a publicly traded special purpose acquisition company and began trading on the Nasdaq Global Select market. As of June 30, 2022 and December 31, 2021, the fair value of the Company’s investment in Vacasa was $4 million and $13 million, as measured using quoted prices in the active market (Level 1).

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Derivative Instruments And Hedging Activities

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments And Hedging Activities

Derivative Instruments and Hedging Activities

Foreign Currency Risk

The Company has foreign currency rate exposure to exchange rate fluctuations worldwide with particular exposure to the Euro, British pound sterling, Australian and Canadian dollars, and Mexican peso. The Company uses freestanding foreign currency forward contracts to manage a portion of its exposure to changes in foreign currency exchange rates associated with its foreign currency denominated receivables and payables. Additionally, the Company has used foreign currency forward contracts designated as cash flow hedges to manage a portion of its exposure to changes in forecasted foreign currency denominated vendor payments and forecasted earnings of foreign subsidiaries. The amount of gains or losses

relating to contracts designated as cash flow hedges that the Company expects to reclassify from Accumulated other comprehensive loss (“AOCL”) to earnings over the next 12 months is not material.

Interest Rate Risk

A portion of the debt used to finance the Company’s operations is exposed to interest rate fluctuations. The Company periodically uses financial derivatives to strategically adjust its mix of fixed to floating rate debt. The derivative instruments utilized include interest rate swaps which convert fixed–rate debt into variable–rate debt (i.e. fair value hedges) and interest rate caps (undesignated hedges) to manage the overall interest cost. For relationships designated as fair value hedges, changes in fair value of the derivatives are recorded in income, with offsetting adjustments to the carrying amount of the hedged debt. As of June 30, 2022 and 2021, the Company had no interest rate derivatives designated as fair value or cash flow hedges.

There were no losses on derivatives recognized in AOCL for the three and six months ended June 30, 2022 or 2021.

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Income Taxes

6 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The Company files U.S. federal, state, and foreign income tax returns in jurisdictions with varying statutes of limitations. The Company is no longer subject to U.S. federal income tax examinations for years prior to 2016. In addition, with few exceptions, the Company is no longer subject to state, local, or foreign income tax examinations for years prior to 2011.

The Company’s effective tax rate was 24.3% and 29.5% for the three months ended June 30, 2022 and 2021; and 26.8% and 26.6% for the six months ended June 30, 2022 and 2021. The effective tax rates for the three and six months ended June 30, 2022 were impacted by a decrease in unrecognized tax benefits for a tax position effectively settled with taxing authorities. The effective tax rate for the three months ended June 30, 2021 was impacted by additions to unrecognized tax benefits and the remeasurement of net deferred tax liabilities as a result of changes in certain state and foreign tax rates. For the six months ended June 30, 2021, the effective tax rate was impacted by excess tax benefits from stock-based compensation, partially offset by additions to unrecognized tax benefits and the remeasurement of net deferred tax liabilities as a result of changes in certain state and foreign tax rates.

The Company made income tax payments net of tax refunds, of $88 million and $65 million during the six months ended June 30, 2022 and 2021.

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Leases

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

Lessee, Finance Leases

Leases

The Company leases property and equipment under finance and operating leases for its corporate headquarters, administrative functions, marketing and sales offices, and various other facilities and equipment. For leases with terms greater than 12 months, the Company records the related asset and obligation at the present value of lease payments over the term. Many of its leases include rental escalation clauses, lease incentives, renewal options and/or termination options that are factored into the Company’s determination of lease payments. The Company elected the hindsight practical expedient to determine the reasonably certain lease term for existing leases. The Company also made an accounting policy election to keep leases with an initial term of 12 months or less off the balance sheet and recognize the associated lease payments on a straight-line basis over the lease term in the Condensed Consolidated Statements of Income.

When available, the Company uses the rate implicit in the lease to discount lease payments to present value; however, most of its leases do not provide a readily determinable implicit rate. Therefore, the Company must estimate its incremental borrowing rate to discount the lease payments based on information available at lease commencement. The majority of the Company’s leases have remaining lease terms of one to 20 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the leases within one year.

The table below presents information related to the lease costs for finance and operating leases (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Operating lease cost	$	6	$	6	$	12	$	11
Short-term lease cost	$	3	$	3	$	7	$	6
Finance lease cost:
Amortization of right-of-use assets	$	1	$	1	$	3	$	2
Interest on lease liabilities	—		—		—		—
Total finance lease cost	$	1	$	1	$	3	$	2

The table below presents the lease-related assets and liabilities recorded on the Condensed Consolidated Balance Sheets:

	Balance Sheet Classification	June 30, 2022			December 31, 2021
Operating leases (in millions):
Operating lease right-of-use assets	Other assets	$	69		$	79
Operating lease liabilities	Accrued expenses and other liabilities	$	122		$	136
Finance leases (in millions):
Finance lease assets (a)	Property and equipment, net	$	11		$	10
Finance lease liabilities	Debt	$	9		$	9
Weighted average remaining lease term:
Operating leases		6.0 years			6.4 years
Finance leases		2.7 years			2.6 years
Weighted average discount rate:
Operating leases (b)		5.8		%	5.8		%
Finance leases		4.3		%	4.4		%

(a)Presented net of accumulated depreciation.

(b)Upon adoption of the lease standard, discount rates used for existing leases were established at January 1, 2019.

The table below presents supplemental cash flow information related to leases (in millions):

	Six Months Ended
	June 30,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	16	$	19
Operating cash flows from finance leases	$	—	$	—
Financing cash flows from finance leases	$	3	$	2
Right-of-use assets obtained in exchange for lease obligations:
Operating leases (a)	$	(1)	$	5
Finance leases	$	3	$	1

(a)Includes write-off of right-of-use assets during the six months ended June 30, 2022.

The table below presents maturities of lease liabilities as of June 30, 2022 (in millions):

	Operating Leases		Finance Leases
Six months ending December 31, 2022	$	16	$	2
2023	30		5
2024	28		3
2025	23		1
2026	14		—
Thereafter	34		—
Total minimum lease payments	145		11
Less: amount of lease payments representing interest	(23)		(2)
Present value of future minimum lease payments	$	122	$	9

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Commitments And Contingencies

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Commitments And Contingencies

Commitments and Contingencies

The Company is involved in claims, legal and regulatory proceedings, and governmental inquiries related to its business, none of which, in the opinion of management, is expected to have a material effect on the Company’s results of operations or financial condition.

Travel + Leisure Co. Litigation

The Company may be from time to time involved in claims, legal and regulatory proceedings, and governmental inquiries arising in the ordinary course of its business including but not limited to: for its Vacation Ownership business — breach of contract, bad faith, conflict of interest, fraud, consumer protection and other statutory claims by property owners’ associations, owners and prospective owners in connection with the sale or use of VOIs or land, or the management of vacation ownership resorts, construction defect claims relating to vacation ownership units or resorts or in relation to guest reservations and bookings; and negligence, breach of contract, fraud, consumer protection and other statutory claims by guests and other consumers for alleged injuries sustained at or acts or occurrences related to vacation ownership units or resorts or in relation to guest reservations and bookings; for its Travel and Membership business — breach of contract, fraud and bad faith claims by affiliates and customers in connection with their respective agreements, negligence, breach of contract, fraud, consumer protection and other statutory claims asserted by members, guests and other consumers for alleged injuries sustained at or acts or occurrences related to affiliated resorts, or in relation to guest reservations and bookings; and for each of its businesses, bankruptcy proceedings involving efforts to collect receivables from a debtor in bankruptcy, employment matters including but not limited to, claims of wrongful termination, retaliation, discrimination, harassment and wage and hour claims, whistleblower claims, claims of infringement upon third parties’ intellectual property rights, claims relating to information security, privacy and consumer protection, fiduciary duty/trust claims, tax claims, environmental claims, and landlord/tenant disputes.

The Company records an accrual for legal contingencies when it determines, after consultation with outside counsel where appropriate, that it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. In making such determinations, the Company evaluates, among other things, the degree of probability of an unfavorable outcome and, when it is probable that a liability has been incurred, the Company’s ability to make a reasonable estimate of loss. The Company reviews these accruals each fiscal quarter and makes revisions based on changes in facts and circumstances including changes to its strategy in dealing with these matters. The Company believes that it has adequately accrued for such matters with reserves of $21 million and $19 million as of June 30, 2022 and December 31, 2021. Litigation is inherently unpredictable and, although the Company believes that its accruals are adequate and/or that it has valid defenses in these matters, unfavorable results could occur. As such, an adverse outcome from such proceedings for which claims are awarded in excess of the amounts accrued, if any, could be material to the Company with respect to earnings and/or cash flows in any given reporting period. As of June 30, 2022, it is estimated that the potential exposure resulting from adverse outcomes of such legal proceedings could, in the aggregate, range up to $34 million in excess of recorded accruals. Such reserves are exclusive of matters relating to the Company’s separation from Cendant, matters relating to the Spin-off, and matters relating to the sale of the vacation rentals businesses, which are discussed in Note 22—Transactions with Former Parent and Former Subsidiaries. However, the Company does not believe that the impact of such litigation should result in a material liability to the Company in relation to its consolidated financial position and/or liquidity.

For matters deemed reasonably possible, therefore not requiring accrual, the Company believes that such matters will not have a material effect on its results of operations, financial position, or cash flows based on information currently available.

As of June 30, 2022, it is estimated that the potential exposure resulting from adverse outcomes of such legal proceedings could, in the aggregate, range up to an amount less than $1 million.

GUARANTEES/INDEMNIFICATIONS

Standard Guarantees/Indemnifications

In the ordinary course of business, the Company enters into agreements that contain standard guarantees and indemnities whereby the Company indemnifies another party for specified breaches of, or third-party claims relating to, an underlying agreement. Such underlying agreements are typically entered into by one of the Company’s subsidiaries. The various underlying agreements generally govern purchases, sales or outsourcing of products or services, leases of real estate, licensing of software and/or development of vacation ownership properties, access to credit facilities, derivatives and issuances of debt securities. Also in the ordinary course of business, the Company provides corporate guarantees for its operating business units relating to merchant credit-card processing for prepaid customer stays and other deposits. While a majority of these guarantees and indemnifications extend only for the duration of the underlying agreement, some survive the expiration of the agreement. The Company is not able to estimate the maximum potential amount of future payments to be made under these guarantees and indemnifications as the triggering events are not predictable. In certain cases, the Company maintains insurance coverage that may mitigate any potential payments.

Other Guarantees and Indemnifications

Vacation Ownership

The Company has committed to repurchase completed property located in Las Vegas, Nevada, from a third-party developer subject to such property meeting the Company’s vacation ownership resort standards and provided that the third-party developer has not sold such property to another party. See Note 8—Inventory for additional details.

For information on guarantees and indemnifications related to the Company’s former parent and subsidiaries see Note 22—Transactions with Former Parent and Former Subsidiaries.

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Accumulated Other Comprehensive (Loss)/Income

6 Months Ended

Jun. 30, 2022

Equity [Abstract]

Accumulated Other Comprehensive (Loss)/Income

Accumulated Other Comprehensive (Loss)/Income

The components of accumulated other comprehensive loss are as follows (in millions):

	Foreign		Unrealized		Accumulated
	Currency		(Losses)/Gains		Other
	Translation		on Cash Flow		Comprehensive
Pretax	Adjustments		Hedges		(Loss)/Income
Balance, December 31, 2021	$	(145)	$	(1)	$	(146)
Other comprehensive loss	(32)		—		(32)
Balance, June 30, 2022	$	(177)	$	(1)	$	(178)

Tax
Balance, December 31, 2021	$	97	$	1	$	98
Other comprehensive income	2		—		2
Balance, June 30, 2022	$	99	$	1	$	100

Net of Tax
Balance, December 31, 2021	$	(48)	$	—	$	(48)
Other comprehensive loss	(30)		—		(30)
Balance, June 30, 2022	$	(78)	$	—	$	(78)

	Foreign		Unrealized		Accumulated
	Currency		(Losses)/Gains		Other
	Translation		on Cash Flow		Comprehensive
Pretax	Adjustments		Hedges		(Loss)/Income
Balance, December 31, 2020	$	(113)	$	(1)	$	(114)
Other comprehensive loss	(11)		—		(11)
Balance, June 30, 2021	$	(124)	$	(1)	$	(125)

Tax
Balance, December 31, 2020	$	97	$	1	$	98
Other comprehensive income	—		—		—
Balance, June 30, 2021	$	97	$	1	$	98

Net of Tax
Balance, December 31, 2020	$	(16)	$	—	$	(16)
Other comprehensive loss	(11)		—		(11)
Balance, June 30, 2021	$	(27)	$	—	$	(27)

Currency translation adjustments exclude income taxes related to investments in foreign subsidiaries where the Company intends to reinvest the undistributed earnings indefinitely in those foreign operations.

There were no reclassifications out of AOCL for the six months ended June 30, 2022 or 2021.

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Stock-Based Compensation

6 Months Ended

Jun. 30, 2022

Share-Based Payment Arrangement, Noncash Expense [Abstract]

Stock-Based Compensation

Stock-Based Compensation

The Company has a stock-based compensation plan available to grant RSUs, PSUs, SSARs, NQs, and other stock-based awards to key employees, non-employee directors, advisors, and consultants.

The Wyndham Worldwide Corporation 2006 Equity and Incentive Plan was originally adopted in 2006 and was amended and restated in its entirety and approved by shareholders on May 17, 2018, (the “Amended and Restated Equity Incentive Plan”). Under the Amended and Restated Equity Incentive Plan, a maximum of 15.7 million shares of common stock may be awarded. As of June 30, 2022, 10.8 million shares remain available.

Incentive Equity Awards Granted by the Company

During the six months ended June 30, 2022, the Company granted incentive equity awards to key employees and senior officers of $31 million in the form of RSUs and $13 million in the form of PSUs. Of these awards, the majority of RSUs will vest ratably over a period of four years. The majority of PSUs will cliff vest on the third anniversary of the grant date, contingent upon the Company achieving certain performance metrics.

During the six months ended June 30, 2021, the Company granted incentive equity awards to key employees and senior officers of $33 million in the form of RSUs, $7 million in the form of PSUs, and $2 million in the form of stock options.

The activity related to incentive equity awards granted to the Company’s key employees and senior officers by the Company for the six months ended June 30, 2022, consisted of the following (in millions, except grant prices):

	Balance, December 31, 2021		Granted		Vested /Exercised (a)		Cancelled / Forfeited (b)		Balance, June 30, 2022
RSUs
Number of RSUs	1.8		0.6		(0.5)		(0.1)		1.8		(c)
Weighted average grant price	$	47.83	$	52.84	$	48.85	$	46.58	$	49.11
PSUs
Number of PSUs	0.4		0.3		—		(0.1)		0.6		(d)
Weighted average grant price	$	48.18	$	52.87	$	—	$	44.43	$	51.30
NQs
Number of NQs	2.3		—		—		—		2.3		(e)
Weighted average grant price	$	45.32	$	—	$	—	$	—	$	45.33

(a)Upon exercise of NQs and upon vesting of RSUs and PSUs, the Company issues new shares to participants.

(b)The Company recognizes cancellations and forfeitures as they occur.

(c)Aggregate unrecognized compensation expense related to RSUs was $62 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.8 years.

(d)Aggregate unrecognized compensation expense related to PSUs that are probable of vesting was $15 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.5 years. The maximum amount of compensation expense associated with PSUs that are not probable of vesting could range up to $12 million over a weighted average period of 1.8 years.

(e)There were 1.4 million NQs which were exercisable as of June 30, 2022. These exercisable NQs will expire over a weighted average period of 6.6 years and carry a weighted average grant date fair value of $8.52. Unrecognized compensation expense for NQs was $6 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.0 years.

The Company did not grant any stock options during the first half of 2022. The fair value of stock options granted by the Company during 2021 was estimated on the date of these grants using the Black-Scholes option-pricing model with the relevant weighted average assumptions outlined in the table below. Expected volatility was based on both historical and implied volatilities of the Company’s stock and the stock of comparable companies over the estimated expected life for options. The expected life represents the period of time these awards are expected to be outstanding. The risk-free interest rate is based on yields on U.S. Treasury strips with a maturity similar to the estimated expected life of the options. The projected dividend yield was based on the Company’s anticipated annual dividend divided by the price of the Company’s stock on the date of the grant.

Stock Options	2021
Grant date fair value	$18.87
Grant date strike price	$59.00
Expected volatility	44.80%
Expected life (a)	6.25 years
Risk-free interest rate	1.09%
Projected dividend yield	3.12%

(a)The maximum contractual term for these options is 10 years.

The total intrinsic value of exercised options was less than $1 million during the six months ended June 30, 2022, and less than $1 million and $1 million during the three and six months ended June 30, 2021. The grant date fair value of options that vested during the six months ended June 30, 2022 and 2021 were $4 million in both periods.

Stock-Based Compensation Expense

The Company recorded stock-based compensation expense related to incentive equity awards granted to key employees, senior officers, and non-employee directors of $12 million and $24 million during the three and six months ended June 30, 2022, and $9 million and $16 million during the three and six months ended June 30, 2021. Such stock-based compensation expense for the six months ended June 30, 2022 includes $3 million which has been classified within

Restructuring on the Condensed Consolidated Statements of Income. The Company recognized $7 million and $4 million of associated tax benefits during the six months ended June 30, 2022 and 2021.

The Company paid $6 million and $9 million of taxes for the net share settlement of incentive equity awards that vested during the six months ended June 30, 2022 and 2021. Such amounts are included within Financing activities on the Condensed Consolidated Statements of Cash Flows.

Employee Stock Purchase Plan

The Company has an employee stock purchase plan which allows eligible employees to purchase common shares of Company stock through payroll deductions at a 10% discount off the fair market value at the grant date. The Company issued 0.1 million shares and recognized less than $1 million of compensation expense related to grants under this plan during the six months ended June 30, 2022 and 2021.

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Segment Information

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Segment Information

Segment Information The Company has two reportable segments: Vacation Ownership and Travel and Membership. Due to changes in organizational structure in the second quarter of 2022, the management of Extra Holidays was transitioned to the Vacation Ownership segment. As such, the Company reclassified the results of Extra Holidays, which was previously reported within the Travel and Membership segment, into the Vacation Ownership segment. Prior period segment information has been updated to reflect this change. The reportable segments presented below are those for which discrete financial information is available and which are utilized on a regular basis by the chief operating decision maker to assess performance and to allocate resources. In identifying its reportable segments, the Company also considers the nature of services provided by its operating segments. Management uses net revenues and Adjusted EBITDA to assess the performance of the reportable segments. Adjusted EBITDA is defined by the Company as Net income from continuing operations before Depreciation and amortization, Interest expense (excluding Consumer financing interest), early extinguishment of debt, Interest income (excluding Consumer financing revenues) and income taxes. Adjusted EBITDA also excludes stock-based compensation costs, separation and restructuring costs, legacy items, transaction costs for acquisitions and divestitures, impairments, gains and losses on sale/disposition of business, and items that meet the conditions of unusual and/or infrequent. Legacy items include the resolution of and adjustments to certain contingent assets and liabilities related to acquisitions of continuing businesses and dispositions, including the separation of Wyndham Hotels & Resorts, Inc. and Cendant, and the sale of the vacation rentals businesses. The Company believes that Adjusted EBITDA is a useful measure of performance for its segments which, when considered with GAAP measures, the Company believes gives a more complete understanding of its operating performance. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.

The following tables present the Company’s segment information (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
Net revenues	2022		2021		2022		2021
Vacation Ownership	$	735	$	604	$	1,344	$	1,057
Travel and Membership	188		194		389		370
Total reportable segments	923		798		1,733		1,427
Corporate and other (a)	(1)		(1)		(2)		(2)
Total Company	$	922	$	797	$	1,731	$	1,425
	Three Months Ended				Six Months Ended
	June 30,				June 30,
Reconciliation of Net income to Adjusted EBITDA	2022		2021		2022		2021
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Loss on disposal of discontinued business, net of income taxes	—		2		—		2
Provision for income taxes	32		31		55		37
Depreciation and amortization	31		31		61		63
Interest expense	47		47		94		100
Interest (income)	(1)		(1)		(2)		(1)
Stock-based compensation	12		9		21		16
Unrealized loss on equity investment	8		—		8		—
Restructuring (b)	1		—		8		(1)
Legacy items	1		1		2		4
COVID-19 related costs (c)	—		1		2		2
Asset recoveries, net (d)	(1)		—		(1)		—
Adjusted EBITDA	$	230	$	193	$	399	$	322
	Three Months Ended				Six Months Ended
	June 30,				June 30,
Adjusted EBITDA	2022		2021		2022		2021
Vacation Ownership	$	187	$	137	$	291	$	204
Travel and Membership	64		71		146		146
Total reportable segments	251		208		437		350
Corporate and other (a)	(21)		(15)		(38)		(28)
Total Company	$	230	$	193	$	399	$	322

(a)Includes the elimination of transactions between segments.

(b)Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

(c)Includes expenses related to COVID-19 testing and other expenses associated with the Company’s return-to-work program in 2022. In 2021, this includes severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

(d)Includes $1 million of inventory impairments for the three and six months ended June 30, 2022, included in Cost of vacation ownership interests on the Condensed Consolidated Statements of Income.

Segment Assets (a)	June 30, 2022		December 31, 2021
Vacation Ownership	$	4,765	$	4,760
Travel and Membership	1,366		1,397
Total reportable segments	6,131		6,157
Corporate and other	346		431
Total Company	$	6,477	$	6,588

(a)Excludes investment in consolidated subsidiaries.

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COVID-19 Related Items

6 Months Ended

Jun. 30, 2022

Restructuring and Related Activities [Abstract]

COVID-19 Related Impacts [Text Block]

COVID-19 Related Items

During the three months ended June 30, 2022, the Company had no expenses directly related to COVID-19. During the six months ended June 30, 2022, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Employee compensation related and other	$	—	$	—	$	2	$	2	COVID-19 related costs
Total COVID-19	$	—	$	—	$	2	$	2

During the three months ended June 30, 2021, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Allowance for loan losses:
Provision	$	(26)	$	—	$	—	$	(26)	Vacation ownership interest sales
Recoveries	10		—		—		10		Cost of vacation ownership interests
Employee compensation related and other	1		—		—		1		COVID-19 related costs
Total COVID-19	$	(15)	$	—	$	—	$	(15)

During the six months ended June 30, 2021, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Allowance for loan losses:
Provision	$	(26)	$	—	$	—	$	(26)	Vacation ownership interest sales
Recoveries	10		—		—		10		Cost of vacation ownership interests
Employee compensation related and other	1		—		1		2		COVID-19 related costs
Lease related	(1)		—		—		(1)		Restructuring
Total COVID-19	$	(16)	$	—	$	1	$	(15)

Allowance for loan losses - Due to the closure of resorts and sales centers and the economic downturn resulting from COVID-19 during 2020, the Company evaluated the potential impact of COVID-19 on its owners’ ability to repay their

contract receivables and as a result of higher unemployment, the Company recorded a COVID-19 related allowance for loan losses. During 2020, the total impact of this COVID-related allowance and subsequent adjustments resulted in a $205 million COVID-19 related provision, which was reflected as a reduction to Vacation ownership interest sales and $48 million of estimated recoveries, which were reflected as a reduction to Cost of vacation ownership interests on the Consolidated Statements of Income. During the second quarter of 2021, the Company analyzed the adequacy of this COVID-19 related allowance consistent with past methodology, and due to the improvement in net new defaults the Company reduced this allowance resulting in a $26 million increase to Vacation ownership interest sales and a corresponding $10 million increase to Cost of vacation ownership interests. The net positive impact of this adjustment on Adjusted EBITDA was $16 million for the three and six months ended June 30, 2021. Refer to Note 7—Vacation Ownership Contract Receivables for additional details.

Employee compensation related and other - During the six months ended June 30, 2022, these costs were related to COVID-19 testing and other expenses associated with the Company’s return-to-work program.

During the three and six months ended June 30, 2021, employee compensation related and other included severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

In connection with these actions the Company recorded COVID-19 employee-related liabilities which are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets. The activity associated with these COVID-19 related liabilities is summarized as follows (in millions):

	Liability as of						Liability as of
	December 31, 2021		Costs Recognized		Cash Payments		June 30, 2022
COVID-19 employee-related	$	1	$	2	$	(2)	$	1
	$	1	$	2	$	(2)	$	1

Lease related - During the six months ended June 30, 2021, the Company reversed $1 million of expense included in Restructuring on the Condensed Consolidated Statements of Income related to the reimbursement of prepaid licensing fees that were previously written-off at the Vacation Ownership segment.

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Restructuring

6 Months Ended

Jun. 30, 2022

Restructuring Charges [Abstract]

Restructuring

Restructuring

2022 Restructuring Plans

During the three and six months ended June 30, 2022, the Company incurred $1 million and $8 million of restructuring expense. Certain positions were made redundant based upon changes to the organizational structure of the Company, primarily within the Travel and Membership segment. The charges consisted of (i) $6 million of personnel costs at the Travel and Membership segment (ii) $1 million of lease and personnel-related costs at the Vacation Ownership segment, and (iii) $1 million of personnel-related costs at the Company’s corporate operations. These restructuring charges included $3 million of accelerated stock-based compensation expense. All material initiative and related expenses have been incurred as of June 30, 2022. The 2022 restructuring liability was reduced by $1 million of cash payments during the six months ended June 30, 2022. The majority of the remaining liability of $4 million is expected to be paid in 2022 with lease-related payments continuing through 2025.

2020 Restructuring Plans

During 2020, the Company recorded $37 million of restructuring charges, most of which were COVID-19 related. These charges included $22 million at the Travel and Membership segment associated with the Company’s decision to abandon the remaining portion of its administrative offices in New Jersey, and $14 million of lease-related charges due to the renegotiation of an agreement and facility-related restructuring charges associated with closed sales centers at the Vacation Ownership segment. As of December 31, 2021, this restructuring liability was $22 million which was reduced by $2 million of cash payments during the six months ended June 30, 2022. The remaining 2020 restructuring liability of $20 million is lease-related and is expected to be paid by the end of 2029.

The activity associated with the Company’s restructuring plans is summarized as follows (in millions):

	Liability as of									Liability as of
	December 31, 2021		Costs Recognized (a)		Cash Payments		Other			June 30, 2022
Facility-related	$	22	$	1	$	(2)	$	—		$	21
Personnel-related	—		7		(1)		(3)		(b)	3
	$	22	$	8	$	(3)	$	(3)		$	24

(a)Included in Restructuring on the Condensed Consolidated Statements of Income.

(b)Represents $3 million of accelerated stock-based compensation expense for the six months ended June 30, 2022, included in Additional paid-in capital on the Condensed Consolidated Balance Sheets.

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Transactions with Former Parent and Former Subsidiaries

6 Months Ended

Jun. 30, 2022

Related Party Transaction, Due from (to) Related Party [Abstract]

Transactions with Former Parent and Former Subsidiaries

Transactions with Former Parent and Former Subsidiaries

Matters Related to Cendant

Pursuant to the Separation and Distribution Agreement with Cendant (the Company’s former parent company, now Avis Budget Group), the Company entered into certain guarantee commitments with Cendant and Cendant’s former subsidiary, Realogy. These guarantee arrangements primarily relate to certain contingent litigation liabilities, contingent tax liabilities, and Cendant contingent and other corporate liabilities, of which Wyndham Worldwide Corporation assumed 37.5% of the responsibility while Cendant’s former subsidiary Realogy is responsible for the remaining 62.5%. In connection with the Spin-off, Wyndham Hotels agreed to retain one-third of Cendant’s contingent and other corporate liabilities and associated costs; therefore, Travel + Leisure Co. is effectively responsible for 25% of such matters subsequent to the separation. Since Cendant’s separation, Cendant has settled the majority of the lawsuits that were pending on the date of the separation.

As of June 30, 2022 and December 31, 2021, the Cendant separation and related liabilities were $14 million and $13 million, all of which were tax related liabilities. These liabilities are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

Matters Related to Wyndham Hotels

In connection with the Spin-off on May 31, 2018, Travel + Leisure Co. entered into several agreements with Wyndham Hotels that govern the relationship of the parties following the separation including the Separation and Distribution Agreement, the Employee Matters Agreement, the Tax Matters Agreement, the Transition Services Agreement, and the License, Development and Noncompetition Agreement.

The Company and Wyndham Hotels entered into a letter agreement during 2021 pursuant to which, among other things Wyndham Hotels waived its right to enforce certain noncompetition covenants in the License, Development and Noncompetition Agreement.

In accordance with the agreements governing the relationship between Travel + Leisure Co. and Wyndham Hotels, Travel + Leisure Co. assumed two-thirds and Wyndham Hotels assumed one-third of certain contingent corporate liabilities of the Company incurred prior to the Spin-off, including liabilities of the Company related to certain terminated or divested businesses, certain general corporate matters, and any actions with respect to the separation plan. Likewise, Travel + Leisure Co. is entitled to receive two-thirds and Wyndham Hotels is entitled to receive one-third of the proceeds from certain contingent corporate assets of the Company arising or accrued prior to the Spin-off.

Matters Related to the European Vacation Rentals Business

In connection with the sale of the Company’s European vacation rentals business to Awaze Limited (“Awaze”), formerly Compass IV Limited, an affiliate of Platinum Equity, LLC, the Company and Wyndham Hotels agreed to certain post-closing credit support for the benefit of certain credit card service providers, a British travel association, and certain regulatory authorities to allow them to continue providing services or regulatory approval to the business. Post-closing credit support may be called if the business fails to meet its primary obligation to pay amounts when due. Awaze has provided an indemnification to Travel + Leisure Co. in the event that the post-closing credit support is enforced or called upon.

At closing, the Company agreed to provide additional post-closing credit support to a British travel association and regulatory authority. An escrow was established at closing, of which $46 million was subsequently released in exchange

for a secured bonding facility and a perpetual guarantee denominated in pound sterling of $46 million. The estimated fair value of the guarantee was $22 million as of June 30, 2022. The Company maintains a $7 million receivable from Wyndham Hotels for its portion of the guarantee.

In addition, the Company agreed to indemnify Awaze against certain claims and assessments, including income tax, value-added tax and other tax matters, related to the operations of the European vacation rentals business for the periods prior to the transaction. The estimated fair value of the indemnifications was $42 million at June 30, 2022. The Company has a $14 million receivable from Wyndham Hotels for its portion of the guarantee.

Wyndham Hotels provided certain post-closing credit support primarily for the benefit of a British travel association in the form of guarantees which are mainly denominated in pound sterling of up to £61 million ($81 million USD) on a perpetual basis. These guarantees totaled £32 million ($39 million USD) at June 30, 2022. Travel + Leisure Co. is responsible for two-thirds of these guarantees.

As part of this agreement Wyndham Hotels was required to maintain minimum credit ratings which increased to Ba1 for Moody’s Investors Services and BB+ for Standard & Poor’s Rating Services (“S&P”) on May 9, 2020. In April 2020, S&P downgraded Wyndham Hotels’ credit rating from BB+ to BB. Although any ultimate exposure relative to indemnities retained from the European vacation rentals sale would be shared two-thirds by Travel + Leisure Co. and one-third by Wyndham Hotels, as the selling entity, Travel + Leisure Co. was responsible for administering additional security to enhance corporate guarantees in the event either company falls below a certain credit rating threshold. As a result of the Wyndham Hotels credit ratings downgrade, during 2020, the Company posted a £58 million surety bond and a £36 million letter of credit. During the third quarter of 2021, S&P upgraded Wyndham Hotels’ credit rating to BB+. In connection with the upgrade of Wyndham Hotels’ credit rating and as part of the settlement of other claims, the surety bond and letter of credit were released during the fourth quarter of 2021.

The estimated fair value of the guarantees and indemnifications for which Travel + Leisure Co. is responsible related to the sale of the European vacation rentals business at June 30, 2022, including the two-thirds portion related to guarantees provided by Wyndham Hotels, totaled $90 million and was recorded in Accrued expenses and other liabilities and total receivables of $21 million were included in Other assets on the Condensed Consolidated Balance Sheets, representing the portion of these guarantees and indemnifications for which Wyndham Hotels is responsible.

During 2019, Awaze proposed certain post-closing adjustments of £35 million ($44 million USD) related to the sale of the European vacation rentals business. During the fourth quarter of 2021, the Company entered into a settlement agreement, contingent upon regulatory approval, to settle these post-closing adjustment claims for £5 million ($7 million USD), one-third of which is the responsibility of Wyndham Hotels.

Matters Related to the North American Vacation Rentals Business

In connection with the sale of the North American vacation rentals business, the Company agreed to indemnify Vacasa against certain claims and assessments, including income tax and other tax matters related to the operations of the North American vacation rentals business for the periods prior to the transaction. The estimated fair value of the indemnifications was $2 million, which was included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets at June 30, 2022.

In connection with the sale of the North American vacation rentals business in the fourth quarter of 2019, the Company entered into a transition service agreement with Vacasa, pursuant to which the companies agreed to provide each other certain transitional services including human resources, facilities, payroll, information technology, information management and related services, treasury, and finance on an interim, transitional basis. During the six months ended June 30, 2021, transition service agreement expenses were less than $1 million and transition service agreement income was less than $1 million. Transition service agreement expenses were included in General and administrative expense and transition service income was included in Other revenue on the Condensed Consolidated Statements of Income. These transition services ended in February 2021.

Related Party Transactions In 2019, the Company entered into an agreement with a former executive of the Company whereby the former executive through an SPE would develop and construct VOI inventory located in Orlando, Florida. In 2020, the Company acquired the completed vacation ownership property for $45 million. This agreement was subsequently amended during 2021, increasing the purchase to $47 million.

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Related Party Transactions

6 Months Ended

Jun. 30, 2022

Related Party Transactions [Abstract]

Related Party Transactions

Transactions with Former Parent and Former Subsidiaries

Matters Related to Cendant

Pursuant to the Separation and Distribution Agreement with Cendant (the Company’s former parent company, now Avis Budget Group), the Company entered into certain guarantee commitments with Cendant and Cendant’s former subsidiary, Realogy. These guarantee arrangements primarily relate to certain contingent litigation liabilities, contingent tax liabilities, and Cendant contingent and other corporate liabilities, of which Wyndham Worldwide Corporation assumed 37.5% of the responsibility while Cendant’s former subsidiary Realogy is responsible for the remaining 62.5%. In connection with the Spin-off, Wyndham Hotels agreed to retain one-third of Cendant’s contingent and other corporate liabilities and associated costs; therefore, Travel + Leisure Co. is effectively responsible for 25% of such matters subsequent to the separation. Since Cendant’s separation, Cendant has settled the majority of the lawsuits that were pending on the date of the separation.

As of June 30, 2022 and December 31, 2021, the Cendant separation and related liabilities were $14 million and $13 million, all of which were tax related liabilities. These liabilities are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

Matters Related to Wyndham Hotels

In connection with the Spin-off on May 31, 2018, Travel + Leisure Co. entered into several agreements with Wyndham Hotels that govern the relationship of the parties following the separation including the Separation and Distribution Agreement, the Employee Matters Agreement, the Tax Matters Agreement, the Transition Services Agreement, and the License, Development and Noncompetition Agreement.

The Company and Wyndham Hotels entered into a letter agreement during 2021 pursuant to which, among other things Wyndham Hotels waived its right to enforce certain noncompetition covenants in the License, Development and Noncompetition Agreement.

In accordance with the agreements governing the relationship between Travel + Leisure Co. and Wyndham Hotels, Travel + Leisure Co. assumed two-thirds and Wyndham Hotels assumed one-third of certain contingent corporate liabilities of the Company incurred prior to the Spin-off, including liabilities of the Company related to certain terminated or divested businesses, certain general corporate matters, and any actions with respect to the separation plan. Likewise, Travel + Leisure Co. is entitled to receive two-thirds and Wyndham Hotels is entitled to receive one-third of the proceeds from certain contingent corporate assets of the Company arising or accrued prior to the Spin-off.

Matters Related to the European Vacation Rentals Business

In connection with the sale of the Company’s European vacation rentals business to Awaze Limited (“Awaze”), formerly Compass IV Limited, an affiliate of Platinum Equity, LLC, the Company and Wyndham Hotels agreed to certain post-closing credit support for the benefit of certain credit card service providers, a British travel association, and certain regulatory authorities to allow them to continue providing services or regulatory approval to the business. Post-closing credit support may be called if the business fails to meet its primary obligation to pay amounts when due. Awaze has provided an indemnification to Travel + Leisure Co. in the event that the post-closing credit support is enforced or called upon.

At closing, the Company agreed to provide additional post-closing credit support to a British travel association and regulatory authority. An escrow was established at closing, of which $46 million was subsequently released in exchange

for a secured bonding facility and a perpetual guarantee denominated in pound sterling of $46 million. The estimated fair value of the guarantee was $22 million as of June 30, 2022. The Company maintains a $7 million receivable from Wyndham Hotels for its portion of the guarantee.

In addition, the Company agreed to indemnify Awaze against certain claims and assessments, including income tax, value-added tax and other tax matters, related to the operations of the European vacation rentals business for the periods prior to the transaction. The estimated fair value of the indemnifications was $42 million at June 30, 2022. The Company has a $14 million receivable from Wyndham Hotels for its portion of the guarantee.

Wyndham Hotels provided certain post-closing credit support primarily for the benefit of a British travel association in the form of guarantees which are mainly denominated in pound sterling of up to £61 million ($81 million USD) on a perpetual basis. These guarantees totaled £32 million ($39 million USD) at June 30, 2022. Travel + Leisure Co. is responsible for two-thirds of these guarantees.

As part of this agreement Wyndham Hotels was required to maintain minimum credit ratings which increased to Ba1 for Moody’s Investors Services and BB+ for Standard & Poor’s Rating Services (“S&P”) on May 9, 2020. In April 2020, S&P downgraded Wyndham Hotels’ credit rating from BB+ to BB. Although any ultimate exposure relative to indemnities retained from the European vacation rentals sale would be shared two-thirds by Travel + Leisure Co. and one-third by Wyndham Hotels, as the selling entity, Travel + Leisure Co. was responsible for administering additional security to enhance corporate guarantees in the event either company falls below a certain credit rating threshold. As a result of the Wyndham Hotels credit ratings downgrade, during 2020, the Company posted a £58 million surety bond and a £36 million letter of credit. During the third quarter of 2021, S&P upgraded Wyndham Hotels’ credit rating to BB+. In connection with the upgrade of Wyndham Hotels’ credit rating and as part of the settlement of other claims, the surety bond and letter of credit were released during the fourth quarter of 2021.

The estimated fair value of the guarantees and indemnifications for which Travel + Leisure Co. is responsible related to the sale of the European vacation rentals business at June 30, 2022, including the two-thirds portion related to guarantees provided by Wyndham Hotels, totaled $90 million and was recorded in Accrued expenses and other liabilities and total receivables of $21 million were included in Other assets on the Condensed Consolidated Balance Sheets, representing the portion of these guarantees and indemnifications for which Wyndham Hotels is responsible.

During 2019, Awaze proposed certain post-closing adjustments of £35 million ($44 million USD) related to the sale of the European vacation rentals business. During the fourth quarter of 2021, the Company entered into a settlement agreement, contingent upon regulatory approval, to settle these post-closing adjustment claims for £5 million ($7 million USD), one-third of which is the responsibility of Wyndham Hotels.

Matters Related to the North American Vacation Rentals Business

In connection with the sale of the North American vacation rentals business, the Company agreed to indemnify Vacasa against certain claims and assessments, including income tax and other tax matters related to the operations of the North American vacation rentals business for the periods prior to the transaction. The estimated fair value of the indemnifications was $2 million, which was included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets at June 30, 2022.

In connection with the sale of the North American vacation rentals business in the fourth quarter of 2019, the Company entered into a transition service agreement with Vacasa, pursuant to which the companies agreed to provide each other certain transitional services including human resources, facilities, payroll, information technology, information management and related services, treasury, and finance on an interim, transitional basis. During the six months ended June 30, 2021, transition service agreement expenses were less than $1 million and transition service agreement income was less than $1 million. Transition service agreement expenses were included in General and administrative expense and transition service income was included in Other revenue on the Condensed Consolidated Statements of Income. These transition services ended in February 2021.

Related Party Transactions In 2019, the Company entered into an agreement with a former executive of the Company whereby the former executive through an SPE would develop and construct VOI inventory located in Orlando, Florida. In 2020, the Company acquired the completed vacation ownership property for $45 million. This agreement was subsequently amended during 2021, increasing the purchase to $47 million.

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Subsequent Event

6 Months Ended

Jun. 30, 2022

Subsequent Events [Abstract]

Subsequent Events

Subsequent Event

Sierra Timeshare 2022-2 Receivables Funding LLC

On July 21, 2022, the Company closed on a placement of a series of term notes payable, issued by Sierra Timeshare 2022-2 Receivables Fundings LLC, with an initial principal amount of $275 million, secured by VOCRs and bearing interest at a weighted average coupon rate of 5.7%. The advance rate for this transaction was 90.5%.

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Background and Basis of Presentation Background and Basis of Presentation (Policies)

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Accounting, Policy [Policy Text Block]

Basis of Presentation

The accompanying unaudited Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q include the accounts and transactions of Travel + Leisure Co., as well as the entities in which Travel + Leisure Co. directly or indirectly has a controlling financial interest. The accompanying Condensed Consolidated Financial Statements have been prepared in accordance with Generally Accepted Accounting Principles in the U.S. (“GAAP”). All intercompany balances and transactions have been eliminated in the Condensed Consolidated Financial Statements. In addition, prior period segment results have been updated to reflect the aforementioned reclassification of the Extra Holidays business into the Vacation Ownership segment.

The Company presents an unclassified balance sheet which conforms to that of the Company’s peers and industry practice.

In presenting the Condensed Consolidated Financial Statements, management makes estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosures. Estimates, by their nature, are based on judgment and available information. Accordingly, actual results could differ from those estimates and assumptions. In management’s opinion, the Condensed Consolidated Financial Statements contain all normal recurring adjustments necessary for a fair presentation of interim results reported. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These Condensed Consolidated Financial Statements should be read in conjunction with the Company’s 2021 Consolidated Financial Statements included in its Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 23, 2022.

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New Accounting Pronouncements New Accounting Pronouncements (Policies)

6 Months Ended

Jun. 30, 2022

Accounting Changes and Error Corrections [Abstract]

New Accounting Pronouncements, Policy [Policy Text Block]

Recently Issued Accounting Pronouncements

Contract Assets and Contract Liabilities from Contracts with Customers Acquired in a Business Combination. In October 2021, the Financial Accounting Standards Board (“FASB”) issued guidance which requires companies to apply Accounting Standards Codification (“ASC”) 606 to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination. This creates an exception to the general recognition and measurement principle in ASC 805. This generally will result in companies recognizing contract assets and contract liabilities at amounts consistent with those recorded by the acquiree immediately before the acquisition date. This guidance is effective for fiscal

years beginning after December 15, 2022, including interim periods within those fiscal years. The amendments should be applied prospectively to business combinations occurring on or after the effective date. Early adoption is permitted. As this guidance would only be applicable to future business combinations, the Company is currently unable to determine the impact of adopting this guidance.

Government Assistance. In November 2021, the FASB issued guidance which requires business entities to provide certain disclosures when they have received government assistance and used a grant or contribution accounting model by analogy to other accounting guidance. The guidance is effective for financial statements issued for annual periods beginning after December 15, 2021. The adoption of this guidance is not expected to have a material impact on the Company’s Consolidated Financial Statements or related disclosures.

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Revenue Recognition Revenue Recognition (Policies)

6 Months Ended

Jun. 30, 2022

Revenue Recognition and Deferred Revenue [Abstract]

Revenue Recognition and Loyalty Programs

Vacation Ownership

The Company develops, markets, and sells VOIs to individual consumers, provides consumer financing in connection with the sale of VOIs, and provides property management services at resorts. The Company’s sales of VOIs are either cash sales or developer-financed sales. Developer-financed sales are typically collateralized by the underlying VOI. Revenue is recognized on VOI sales upon transfer of control, which is defined as the point in time when a binding sales contract has been executed, the financing contract has been executed for the remaining transaction price, the statutory rescission period has expired, and the transaction price has been deemed to be collectible.

For developer-financed sales, the Company reduces the VOI sales transaction price by an estimate of uncollectible consideration at the time of the sale. The Company’s estimates of uncollectible amounts are based largely on the results of the Company’s static pool analysis which relies on historical payment data by customer class.

In connection with entering into a VOI sale, the Company may provide its customers with certain non-cash incentives, such as credits for future stays at its resorts. For those VOI sales, the Company bifurcates the sale and allocates the sales price between the VOI sale and the non-cash incentive. Non-cash incentives generally have expiration periods of 18 months or less and are recognized at a point in time upon transfer of control.

The Company provides day-to-day property management services including oversight of housekeeping services, maintenance, and certain accounting and administrative services for property owners’ associations and clubs. These services may also include reservation and resort renovation activities. Such agreements are generally for terms of one year or less and are renewed automatically on an annual basis. The Company’s management agreements contain cancellation clauses, which allow for either party to cancel the agreement, by either a majority board vote or a majority vote of non-developer interests. The Company receives fees for such property management services which are collected monthly in advance and are based upon total costs to operate such resorts (or as services are provided in the case of resort renovation activities). Fees for property management services typically approximate 10% of budgeted operating expenses. The Company is entitled to consideration for reimbursement of costs incurred on behalf of the property owners’ association in providing management services (“reimbursable revenue”). These reimbursable costs principally relate to the payroll costs for management of the associations, club and resort properties where the Company is the employer and are reflected as a component of Operating expenses on the Condensed Consolidated Statements of Income. The Company reduces its management fees for amounts it has paid to the property owners’ association that reflect maintenance fees for VOIs for which it retains ownership, as the Company has concluded that such payments are consideration payable to a customer.

Property management fee revenues are recognized when the services are performed and are recorded as a component of Service and membership fees on the Condensed Consolidated Statements of Income.

Travel and Membership

Travel and Membership derives a majority of its revenues from membership dues and fees for facilitating members’ trading of their intervals. Revenues from membership dues represent the fees paid by members or affiliated clubs on their behalf. The Company recognizes revenues from membership dues paid by the member on a straight-line basis over the membership period as the performance obligations are fulfilled through delivery of publications, if applicable, and by providing access to travel-related products and services. Estimated net contract consideration payable by affiliated clubs for memberships is recognized as revenue over the term of the contract with the affiliated club in proportion to the estimated average monthly member count. Such estimates are adjusted periodically for changes in the actual and forecasted member activity. For additional fees, members have the right to exchange their intervals for intervals at other properties affiliated with the Company’s vacation exchange networks and, for certain members, for other leisure-related services and products. The Company also derives revenue from facilitating bookings of travel accommodations for Travel Club members. Revenue is recognized when these transactions have been confirmed, net of expected cancellations, except in certain transactions where the Company has a performance obligation that is not satisfied until the time of stay.

As a provider of vacation exchange services, the Company enters into affiliation agreements with developers of vacation ownership properties to allow owners of VOIs to trade their intervals for intervals at other properties affiliated with the Company’s vacation exchange network and, for some members, for other leisure-related services and products.

The Company’s vacation exchange business also derives revenues from programs with affiliated resorts, club servicing, and loyalty programs; and additional exchange-related products that provide members with the ability to protect trading power or points, extend the life of deposits, and combine two or more deposits for the opportunity to exchange into intervals with higher trading power. Other vacation exchange related product fees are deferred and recognized as revenue upon the occurrence of a future exchange, event, or other related transaction.

The Company earns revenue from its RCI Elite Rewards co–branded credit card program, which is primarily generated by cardholder spending and the enrollment of new cardholders. The advance payments received under the program are recognized as a contract liability until the Company’s performance obligations have been satisfied. The primary performance obligation for the program relates to brand performance services. Total contract consideration is estimated and recognized on a straight-line basis over the contract term.

Other Items

The Company records property management services revenues for its Vacation Ownership segment and RCI Elite Rewards revenues for its Travel and Membership segments gross as a principal.

In the Company’s Vacation Ownership business, deferred VOI trial package revenue represents consideration received in advance for a trial VOI, which allows customers to utilize a vacation package typically within one year of purchase. Deferred VOI incentive revenue represents payments received in advance for additional travel-related services and products at the time of a VOI sale. Revenue is recognized when a customer utilizes the additional services and products, which is typically within one year of the VOI sale.

Within the Company’s Travel and Membership business, deferred subscription revenue represents billings and payments received in advance from members and affiliated clubs for memberships in the Company’s travel programs which are recognized in future periods. Deferred revenue primarily represents payments received in advance from members for the right to access the Company’s vacation travel network to book vacation exchanges and rent travel accommodations which are recognized on a straight-line basis over the contract period, generally within one year. Deferred revenue also includes other leisure-related service and product revenues which are recognized as customers utilize the associated benefits.

Practical ExpedientsThe Company has not adjusted the consideration for the effects of a significant financing component if it expected, at contract inception, that the period between when the Company will satisfy the performance obligation and when the customer will pay for that good or service will be one year or less.

Capitalized contract costs policy text block [Policy Text Block]

Capitalized Contract Costs

The Vacation Ownership segment incurs certain direct and incremental selling costs in connection with VOI trial package and incentive revenues. Such costs are capitalized and subsequently amortized over the utilization period, which is typically within one year of the sale. As of June 30, 2022 and December 31, 2021, these capitalized costs were $29 million and $28 million and are included within Other assets on the Condensed Consolidated Balance Sheets.

The Travel and Membership segment incurs certain direct and incremental selling costs to obtain contracts with customers in connection with subscription revenues and exchange–related revenues. Such costs, which are primarily comprised of commissions paid to internal and external parties and credit card processing fees, are deferred at the inception of the contract and recognized when the benefit is transferred to the customer. As of June 30, 2022 and December 31, 2021, these capitalized costs were $18 million and $19 million; and are included within Other assets on the Condensed Consolidated Balance Sheets.

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Earnings Per Share (Policies)	6 Months Ended
	Jun. 30, 2022
Earnings Per Share [Abstract]
Earnings Per Share, Policy	The dilutive impact of the Company’s potential common stock is computed utilizing the treasury stock method using average market prices during the period.

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Vacation Ownership Contract Receivables Policy (Policies)

6 Months Ended

Jun. 30, 2022

Receivables [Abstract]

Credit Quality for Financed Receivables and the Allowance for Credit Losses

Credit Quality for Financed Receivables and the Allowance for Credit Losses

The basis of the differentiation within the identified class of financed VOI contract receivables is the consumer’s Fair Isaac Corporation (“FICO”) score. A FICO score is a branded version of a consumer credit score widely used within the U.S. by the largest banks and lending institutions. FICO scores range from 300 to 850 and are calculated based on information obtained from one or more of the three major U.S. credit reporting agencies that compile and report on a consumer’s credit history. The Company updates its records for all active VOI contract receivables with a balance due on a rolling monthly basis to ensure that all VOI contract receivables are scored at least every six months. The Company groups all VOI contract receivables into five different categories: FICO scores ranging from 700 to 850, from 600 to 699, below 600, no score (primarily comprised of consumers for whom a score is not readily available, including consumers declining access to FICO scores and non-U.S. residents), and Asia Pacific (comprised of receivables in the Company’s Vacation Ownership Asia Pacific business for which scores are not readily available).

The Company ceases to accrue interest on VOI contract receivables once the contract has remained delinquent for greater than 90 days and reverses all of the associated accrued interest recognized to date against interest income included within Consumer financing revenue on the Condensed Consolidated Statements of Income. At greater than 120 days, the VOI contract receivable is written off to the allowance for loan losses. In accordance with its policy, the Company assesses the allowance for loan losses using a static pool methodology and thus does not assess individual loans for impairment.

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Variable Interest Entities Variable Interest Entities Policies (Policies)

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Principals of consolidation

The Company analyzes its variable interests, including loans, guarantees, special purpose entities (“SPEs”), and equity investments, to determine if an entity in which the Company has a variable interest is a variable interest entity (“VIE”). If the entity is deemed to be a VIE, the Company consolidates those VIEs for which the Company is the primary beneficiary.

Vacation Ownership Contract Receivables Securitizations

The Company pools qualifying VOCRs and sells them to bankruptcy-remote entities. VOCRs qualify for securitization based primarily on the credit strength of the VOI purchaser to whom financing has been extended. VOCRs are securitized through bankruptcy-remote SPEs that are consolidated within the Company’s Condensed Consolidated Financial Statements. As a result, the Company does not recognize gains or losses resulting from these securitizations at the time of sale to the SPEs. Interest income is recognized when earned over the contractual life of the VOCRs. The Company services the securitized VOCRs pursuant to servicing agreements negotiated on an arm’s-length basis based on market conditions. The activities of these SPEs are limited to (i) purchasing VOCRs from the Company’s vacation ownership subsidiaries, (ii) issuing debt securities and/or borrowing under a conduit facility to fund such purchases, and (iii) entering into derivatives to hedge interest rate exposure. The bankruptcy-remote SPEs are legally separate from the Company. The receivables held by the bankruptcy-remote SPEs are not available to creditors of the Company and legally are not assets of the Company. Additionally, the non-recourse debt that is securitized through the SPEs is legally not a liability of the Company and thus, the creditors of these SPEs have no recourse to the Company for principal and interest.

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Fair Value Measures and Disclosures (Policies)

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value Measurement, Policy

The Company measures its financial assets and liabilities at fair value on a recurring basis and utilizes the fair value hierarchy to determine such fair values. Financial assets and liabilities carried at fair value are classified and disclosed in one of the following three categories:

Level 1: Quoted prices for identical instruments in active markets.

Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value driver is observable.

Level 3: Unobservable inputs used when little or no market data is available.

In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement falls has been determined based on the lowest level input (closest to Level 3) that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.

For assets and liabilities that are measured using quoted prices in active markets, the fair value is the published market price per unit multiplied by the number of units held without consideration of transaction costs. Assets and liabilities that are measured using other significant observable inputs are valued by reference to similar assets and liabilities. For these items, a significant portion of fair value is derived by reference to quoted prices of similar assets and liabilities in active markets. For assets and liabilities that are measured using significant unobservable inputs, fair value is primarily derived using a fair value model, such as a discounted cash flow model.The fair value of financial instruments is generally determined by reference to market values resulting from trading on a national securities exchange or in an over-the-counter market. In cases where quoted market prices are not available, fair value is based on estimates using present value or other valuation techniques, as appropriate. The carrying amounts of cash and cash equivalents, restricted cash, trade receivables, accounts payable, and accrued expenses and other current liabilities approximate fair value due to the short-term maturities of these assets and liabilities.

The Company estimates the fair value of its VOCRs using a discounted cash flow model which it believes is comparable to the model that an independent third-party would use in the current market. The model uses Level 3 inputs consisting of default rates, prepayment rates, coupon rates, and loan terms for the contract receivables portfolio as key drivers of risk and relative value that, when applied in combination with pricing parameters, determines the fair value of the underlying contract receivables.

The Company estimates the fair value of its non-recourse vacation ownership debt by obtaining Level 2 inputs comprised of indicative bids from investment banks that actively issue and facilitate the secondary market for timeshare securities. The Company estimates the fair value of its debt, excluding finance leases, using Level 2 inputs based on indicative bids from investment banks and determines the fair value of its secured notes using quoted market prices (such secured notes are not actively traded).

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Leases (Policies)	6 Months Ended
	Jun. 30, 2022
Leases [Abstract]
Lessee, Leases [Policy Text Block]	The Company leases property and equipment under finance and operating leases for its corporate headquarters, administrative functions, marketing and sales offices, and various other facilities and equipment. For leases with terms greater than 12 months, the Company records the related asset and obligation at the present value of lease payments over the term. Many of its leases include rental escalation clauses, lease incentives, renewal options and/or termination options that are factored into the Company’s determination of lease payments. The Company elected the hindsight practical expedient to determine the reasonably certain lease term for existing leases. The Company also made an accounting policy election to keep leases with an initial term of 12 months or less off the balance sheet and recognize the associated lease payments on a straight-line basis over the lease term in the Condensed Consolidated Statements of Income.When available, the Company uses the rate implicit in the lease to discount lease payments to present value; however, most of its leases do not provide a readily determinable implicit rate. Therefore, the Company must estimate its incremental borrowing rate to discount the lease payments based on information available at lease commencement. The majority of the Company’s leases have remaining lease terms of one to 20 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the leases within one year.

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Commitment and Contingencies (Policies)

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies, Policy

Travel + Leisure Co. Litigation

The Company may be from time to time involved in claims, legal and regulatory proceedings, and governmental inquiries arising in the ordinary course of its business including but not limited to: for its Vacation Ownership business — breach of contract, bad faith, conflict of interest, fraud, consumer protection and other statutory claims by property owners’ associations, owners and prospective owners in connection with the sale or use of VOIs or land, or the management of vacation ownership resorts, construction defect claims relating to vacation ownership units or resorts or in relation to guest reservations and bookings; and negligence, breach of contract, fraud, consumer protection and other statutory claims by guests and other consumers for alleged injuries sustained at or acts or occurrences related to vacation ownership units or resorts or in relation to guest reservations and bookings; for its Travel and Membership business — breach of contract, fraud and bad faith claims by affiliates and customers in connection with their respective agreements, negligence, breach of contract, fraud, consumer protection and other statutory claims asserted by members, guests and other consumers for alleged injuries sustained at or acts or occurrences related to affiliated resorts, or in relation to guest reservations and bookings; and for each of its businesses, bankruptcy proceedings involving efforts to collect receivables from a debtor in bankruptcy, employment matters including but not limited to, claims of wrongful termination, retaliation, discrimination, harassment and wage and hour claims, whistleblower claims, claims of infringement upon third parties’ intellectual property rights, claims relating to information security, privacy and consumer protection, fiduciary duty/trust claims, tax claims, environmental claims, and landlord/tenant disputes.

The Company records an accrual for legal contingencies when it determines, after consultation with outside counsel where appropriate, that it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. In making such determinations, the Company evaluates, among other things, the degree of probability of an unfavorable outcome and, when it is probable that a liability has been incurred, the Company’s ability to make a reasonable estimate of loss. The Company reviews these accruals each fiscal quarter and makes revisions based on changes in facts and circumstances including changes to its strategy in dealing with these matters.For matters deemed reasonably possible, therefore not requiring accrual, the Company believes that such matters will not have a material effect on its results of operations, financial position, or cash flows based on information currently available.

Standard Guarantees/Indemnifications

In the ordinary course of business, the Company enters into agreements that contain standard guarantees and indemnities whereby the Company indemnifies another party for specified breaches of, or third-party claims relating to, an underlying agreement. Such underlying agreements are typically entered into by one of the Company’s subsidiaries. The various underlying agreements generally govern purchases, sales or outsourcing of products or services, leases of real estate, licensing of software and/or development of vacation ownership properties, access to credit facilities, derivatives and issuances of debt securities. Also in the ordinary course of business, the Company provides corporate guarantees for its operating business units relating to merchant credit-card processing for prepaid customer stays and other deposits. While a majority of these guarantees and indemnifications extend only for the duration of the underlying agreement, some survive the expiration of the agreement. The Company is not able to estimate the maximum potential amount of future payments to be made under these guarantees and indemnifications as the triggering events are not predictable. In certain cases, the Company maintains insurance coverage that may mitigate any potential payments.

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Stock-Based Compensation (Policies)	6 Months Ended
	Jun. 30, 2022
Share-Based Payment Arrangement, Noncash Expense [Abstract]
Share-Based Payment Arrangement	The fair value of stock options granted by the Company during 2021 was estimated on the date of these grants using the Black-Scholes option-pricing model with the relevant weighted average assumptions outlined in the table below. Expected volatility was based on both historical and implied volatilities of the Company’s stock and the stock of comparable companies over the estimated expected life for options. The expected life represents the period of time these awards are expected to be outstanding. The risk-free interest rate is based on yields on U.S. Treasury strips with a maturity similar to the estimated expected life of the options. The projected dividend yield was based on the Company’s anticipated annual dividend divided by the price of the Company’s stock on the date of the grant.
Employee Stock Ownership Plan (ESOP), Policy	The Company has an employee stock purchase plan which allows eligible employees to purchase common shares of Company stock through payroll deductions at a 10% discount off the fair market value at the grant date.

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Segment Reporting (Policies)	6 Months Ended
	Jun. 30, 2022
Segment Reporting [Abstract]
Segment Reporting, Policy	The Company has two reportable segments: Vacation Ownership and Travel and Membership. Due to changes in organizational structure in the second quarter of 2022, the management of Extra Holidays was transitioned to the Vacation Ownership segment. As such, the Company reclassified the results of Extra Holidays, which was previously reported within the Travel and Membership segment, into the Vacation Ownership segment. Prior period segment information has been updated to reflect this change. The reportable segments presented below are those for which discrete financial information is available and which are utilized on a regular basis by the chief operating decision maker to assess performance and to allocate resources. In identifying its reportable segments, the Company also considers the nature of services provided by its operating segments. Management uses net revenues and Adjusted EBITDA to assess the performance of the reportable segments. Adjusted EBITDA is defined by the Company as Net income from continuing operations before Depreciation and amortization, Interest expense (excluding Consumer financing interest), early extinguishment of debt, Interest income (excluding Consumer financing revenues) and income taxes. Adjusted EBITDA also excludes stock-based compensation costs, separation and restructuring costs, legacy items, transaction costs for acquisitions and divestitures, impairments, gains and losses on sale/disposition of business, and items that meet the conditions of unusual and/or infrequent. Legacy items include the resolution of and adjustments to certain contingent assets and liabilities related to acquisitions of continuing businesses and dispositions, including the separation of Wyndham Hotels & Resorts, Inc. and Cendant, and the sale of the vacation rentals businesses. The Company believes that Adjusted EBITDA is a useful measure of performance for its segments which, when considered with GAAP measures, the Company believes gives a more complete understanding of its operating performance. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.

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Revenue Recognition (Tables)

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Schedule of Disaggregation of Net Revenues

Property management revenues, which are comprised of management fee revenue and reimbursable revenue were (in millions) (a):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Management fee revenues	$	106	$	96	$	207	$	188
Reimbursable revenues	83		70		167		139
Property management revenues	$	189	$	166	$	374	$	327

(a)Reflects the impact of reclassifying the Extra Holidays business line from the Travel and Membership segment to the Vacation Ownership segment.

The table below presents a disaggregation of the Company’s net revenues from contracts with customers by major services and products for each of the Company’s segments (in millions) (a):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Vacation Ownership
Vacation ownership interest sales (b)	$	400	$	294	$	697	$	466
Property management fees and reimbursable revenues	189		166		374		327
Consumer financing	99		102		198		201
Fee-for-Service commissions	34		29		51		41
Ancillary revenues	13		13		24		22
Total Vacation Ownership	735		604		1,344		1,057
Travel and Membership
Transaction revenues	135		143		282		268
Subscription revenues	45		43		90		84
Ancillary revenues	8		8		17		18
Total Travel and Membership	188		194		389		370
Corporate and other
Eliminations	(1)		(1)		(2)		(2)
Total Corporate and other	(1)		(1)		(2)		(2)
Net revenues	$	922	$	797	$	1,731	$	1,425

(a)This table reflects the reclassification of Extra Holidays from the Travel and Membership segment into the Vacation Ownership segment for all periods presented. Extra Holidays revenue is included within Property management fees and reimbursable revenues.

(b)The Company increased its loan loss allowance by $205 million during 2020, due to an expected increase in net new defaults driven by higher unemployment associated with the novel coronavirus global pandemic (“COVID-19”). During the second quarter of 2021, the Company analyzed the adequacy of this COVID-19 related allowance consistent with past methodology, resulting in a $26 million reversal which is reflected as an increase in Vacation ownership interest sales on the Condensed Consolidated Statements of Income during the three and six months ended June 30, 2021.

Schedule of Contract Liabilities

Contract liabilities as of June 30, 2022 and December 31, 2021, were as follows (in millions):

	June 30, 2022		December 31, 2021
Deferred subscription revenue	$	169	$	166
Deferred VOI trial package revenue	88		85
Deferred VOI incentive revenue	60		55
Deferred exchange-related revenue (a)	59		61
Deferred co-branded credit card programs revenue	10		12
Deferred other revenue	5		3
Total	$	391	$	382

(a)Includes contractual liabilities to accommodate members for cancellations initiated by the Company due to unexpected events. These amounts are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

Contract with customer liability rollforward

Changes in contract liabilities follow (in millions):

	Six Months Ended
	June 30,
	2022		2021
Beginning balance	$	382	$	448
Additions	153		145
Revenue recognized	(144)		(174)
Ending balance	$	391	$	419

Schedule of Performance Obligations

The following table summarizes the Company’s remaining performance obligations for the 12-month periods set forth below (in millions):

	7/1/2022 - 6/30/2023		7/1/2023 - 6/30/2024		7/1/2024 - 6/30/2025		Thereafter		Total
Subscription revenue	$	98	$	38	$	17	$	16	$	169
VOI trial package revenue	83		1		4		—		88
VOI incentive revenue	60		—		—		—		60
Exchange-related revenue	55		3		1		—		59
Co-branded credit card programs revenue	3		3		3		1		10
Other revenue	5		—		—		—		5
Total	$	304	$	45	$	25	$	17	$	391

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Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2022

Earnings Per Share Reconciliation [Abstract]

Computation Of Basic And Diluted EPS

The following table sets forth the computations of basic and diluted EPS (in millions, except per share data):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Net income from continuing operations attributable to Travel + Leisure Co. shareholders	$	100	$	74	$	151	$	102
Loss on disposal of discontinued business attributable to Travel + Leisure Co. shareholders, net of income taxes	—		(2)		—		(2)
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Basic earnings per share (a)
Continuing operations	$	1.17	$	0.85	$	1.76	$	1.18
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.17	$	0.83	$	1.76	$	1.16
Diluted earnings per share (a)
Continuing operations	$	1.16	$	0.84	$	1.75	$	1.17
Discontinued operations	—		(0.02)		—		(0.02)
	$	1.16	$	0.82	$	1.75	$	1.15
Basic weighted average shares outstanding	85.0		86.5		85.5		86.4
Stock-settled appreciation rights (“SSARs”), RSUs,(b) PSUs (c) and NQs (d)	0.7		0.9		0.9		0.7
Diluted weighted average shares outstanding (e)	85.7		87.4		86.4		87.1
Dividends:
Aggregate dividends paid to shareholders	$	35	$	27	$	70	$	53

(a)Earnings per share amounts are calculated using whole numbers.

(b)Excludes 0.7 million and 0.8 million of restricted stock units (“RSUs”) that would have been anti-dilutive to EPS for the three and six months ended June 30, 2022. These shares could potentially dilute EPS in the future.

(c)Excludes performance-vested restricted stock units (“PSUs”) of 0.6 million for both the three and six months ended June 30, 2022 and 0.4 million PSUs for both the three and six months ended June 30, 2021, as the Company has not met the required performance metrics. These PSUs could potentially dilute EPS in the future.

(d)Excludes 1.1 million of outstanding non-qualified stock options (“NQs”) that would have been anti-dilutive to EPS for both the three and six months ended June 30, 2022 and 1.4 million of outstanding NQs for both the three and six months ended June 30, 2021. These outstanding NQs could potentially dilute EPS in the future.

(e)The dilutive impact of the Company’s potential common stock is computed utilizing the treasury stock method using average market prices during the period.

Current Stock Repurchase Program

The following table summarizes stock repurchase activity under the current share repurchase program (in millions):

	Shares	Cost
As of December 31, 2021	111.8	$	5,753
Repurchases	2.5	128
As of June 30, 2022	114.3	$	5,881

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Vacation Ownership Contract Receivables (Tables)

6 Months Ended

Jun. 30, 2022

Vacation Ownership Contract Receivables [Abstract]

Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]

Vacation ownership contract receivables, net consisted of (in millions):

	June 30, 2022		December 31, 2021
Vacation ownership contract receivables:
Securitized (a)	$	1,992	$	2,061
Non-securitized (b)	824		758
Vacation ownership contract receivables, gross	2,816		2,819
Less: allowance for loan losses	512		510
Vacation ownership contract receivables, net	$	2,304	$	2,309

(a)Excludes $15 million and $17 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

(b)Excludes $7 million and $5 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

Financing Receivable, Allowance for Credit Loss [Table Text Block]

The activity in the allowance for loan losses on VOCRs was as follows (in millions):

	Six Months Ended
	June 30,
	2022		2021
Allowance for loan losses, beginning balance	$	510	$	693
Provision for loan losses, net	125		71
Contract receivables write-offs, net	(123)		(191)
Allowance for loan losses, ending balance	$	512	$	573

Financing Receivable Credit Quality Indicators [Table Text Block]

The following table details an aging analysis of financing receivables using the most recently updated FICO scores, based on the policy described above (in millions):

	As of June 30, 2022
	700+		600-699		<600		No Score		Asia Pacific		Total
Current	$	1,656	$	734	$	102	$	68	$	153	$	2,713
31 - 60 days	14		22		10		2		1		49
61 - 90 days	9		12		8		1		1		31
91 - 120 days	5		9		8		1		—		23
Total (a)	$	1,684	$	777	$	128	$	72	$	155	$	2,816
	As of December 31, 2021
	700+		600-699		<600		No Score		Asia Pacific		Total
Current	$	1,630	$	734	$	98	$	72	$	169	$	2,703
31 - 60 days	17		24		10		3		1		55
61 - 90 days	9		12		7		1		—		29
91 - 120 days	9		12		9		1		1		32
Total (a)	$	1,665	$	782	$	124	$	77	$	171	$	2,819

(a)Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

The following table details the year of origination of financing receivables using the most recently updated FICO scores, based on the policy described above (in millions):

	As of June 30, 2022
	700+		600-699		<600		No Score		Asia Pacific		Total
2022	$	428	$	142	$	2	$	14	$	37	$	623
2021	365		210		33		3		25		636
2020	173		77		15		5		18		288
2019	246		127		30		15		24		442
2018	198		92		20		12		19		341
Prior	274		129		28		23		32		486
Total	$	1,684	$	777	$	128	$	72	$	155	$	2,816
	As of December 31, 2021
	700+		600-699		<600		No Score		Asia Pacific		Total
2021	$	534	$	221	$	11	$	11	$	38	$	815
2020	224		105		17		6		38		390
2019	324		168		37		19		33		581
2018	234		117		25		14		24		414
2017	157		76		15		11		14		273
Prior	192		95		19		16		24		346
Total	$	1,665	$	782	$	124	$	77	$	171	$	2,819

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Inventory (Tables)

6 Months Ended

Jun. 30, 2022

Inventory Disclosure [Abstract]

Inventory

Inventory consisted of (in millions):

	June 30, 2022		December 31, 2021
Completed VOI inventory	$	961	$	998
Estimated VOI recoveries	184		187
VOI construction in process	37		13
Inventory sold subject to repurchase	6		13
Vacation exchange credits and other	3		4
Land held for VOI development	1		1
Total inventory	$	1,192	$	1,216

Activity Related to Inventory Obligations

The following table summarizes the activity related to the Company’s inventory obligations (in millions):

	Atlanta (a) (b)		Las Vegas (a)		Moab (a)		Orlando (a)		Other (c)		Total
December 31, 2021	$	—	$	13	$	—	$	—	$	1	$	14
Purchases	67		27		—		—		34		128
Payments	(67)		—		—		—		(26)		(93)
June 30, 2022	$	—	$	40	$	—	$	—	$	9	$	49
December 31, 2020	$	—	$	13	$	31	$	22	$	17	$	83
Purchases	—		2		25		1		39		67
Payments	—		(2)		(56)		(5)		(46)		(109)
June 30, 2021	$	—	$	13	$	—	$	18	$	10	$	41

(a)Included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

(b)Represents vacation ownership inventory and property and equipment in Atlanta, Georgia acquired from a third-party developer.

(c)Included in Accounts payable on the Condensed Consolidated Balance Sheets.

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Property and equipment (Tables)

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment [Table Text Block]

Property and equipment, net consisted of (in millions):

	June 30, 2022		December 31, 2021
Building and leasehold improvements	$	726	$	653
Capitalized software	716		707
Furniture, fixtures and equipment	206		204
Land	30		30
Finance leases	23		20
Construction in progress	20		18
Total property and equipment	1,721		1,632
Less: accumulated depreciation and amortization	991		943
Property and equipment, net	$	730	$	689

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Debt (Tables)

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

The Company’s indebtedness consisted of (in millions):

	June 30, 2022		December 31, 2021
Non-recourse vacation ownership debt: (a)
Term notes (b)	$	1,445	$	1,614
USD bank conduit facility (due July 2024) (c)	281		190
AUD/NZD bank conduit facility (due April 2023) (d)	116		130
Total	$	1,842	$	1,934
Debt: (e)
$1.0 billion secured revolving credit facility (due October 2026) (f)	$	—	$	—
$300 million secured term loan B (due May 2025) (g)	287		288
$400 million 3.90% secured notes (due March 2023) (h)	401		401
$300 million 5.65% secured notes (due April 2024)	299		299
$350 million 6.60% secured notes (due October 2025) (i)	346		345
$650 million 6.625% secured notes (due July 2026)	644		643
$400 million 6.00% secured notes (due April 2027) (j)	406		407
$650 million 4.50% secured notes (due December 2029)	641		641
$350 million 4.625% secured notes (due March 2030)	346		346
Finance leases	9		9
Total	$	3,379	$	3,379

(a)Represents non-recourse debt that is securitized through bankruptcy-remote special purpose entities, the creditors of which have no recourse to the Company for principal and interest. These outstanding borrowings (which legally are not liabilities of the Company) are collateralized by $2.11 billion and $2.17 billion of underlying gross VOCRs and related assets (which legally are not assets of the Company) as of June 30, 2022 and December 31, 2021.

(b)The carrying amounts of the term notes are net of deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021.

(c)The Company has a borrowing capacity of $600 million under the USD bank conduit facility through July 2024. Borrowings under this facility are required to be repaid as the collateralized receivables amortize but no later than August 2025.

(d)The Company has a borrowing capacity of 250 million Australian dollars (“AUD”) and 48 million New Zealand dollars (“NZD”) under the AUD/NZD bank conduit facility through April 2023. Borrowings under this facility are required to be repaid no later than May 2025.

(e)The carrying amounts of the secured notes and term loan are net of unamortized discounts of $18 million and $20 million as of June 30, 2022 and December 31, 2021, and net of unamortized debt financing costs of $7 million and $8 million as of June 30, 2022 and December 31, 2021.

(f)The weighted average effective interest rate on borrowings from this facility was 4.59% and 3.19% as of June 30, 2022 and December 31, 2021.

(g)The weighted average effective interest rate on borrowings from this facility was 2.73% and 2.39% as of June 30, 2022 and December 31, 2021.

(h)Includes $1 million and $2 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

(i)Includes $3 million and $4 million of unamortized losses from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

(j)Includes $8 million and $9 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

Summary Of Outstanding Debt Maturities

The Company’s outstanding debt as of June 30, 2022, matures as follows (in millions):

	Non-recourse Vacation Ownership Debt		Debt		Total
Within 1 year	$	284	$	407	$	691
Between 1 and 2 years	184		305		489
Between 2 and 3 years	258		283		541
Between 3 and 4 years	360		346		706
Between 4 and 5 years	195		1,050		1,245
Thereafter	561		988		1,549
	$	1,842	$	3,379	$	5,221

Summary Of Available Capacity Under Borrowing Arrangements

As of June 30, 2022, available capacity under the Company’s borrowing arrangements was as follows (in millions):

	Non-recourse Conduit Facilities (a)		Revolving Credit Facilities (b)
Total capacity	$	803	$	1,000
Less: outstanding borrowings	397		—
Less: letters of credit	—		2
Available capacity	$	406	$	998

(a)Consists of the Company’s USD bank conduit facility and AUD/NZD bank conduit facility. The capacity of these facilities is subject to the Company’s ability to provide additional assets to collateralize additional non-recourse borrowings.

(b)Consists of the Company’s $1.0 billion secured revolving credit facility.

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Variable Interest Entities (Tables)

6 Months Ended

Jun. 30, 2022

Variable Interest Entity, Primary Beneficiary, Does Not Hold Majority Voting Interest, Disclosures [Abstract]

Assets and Liabilities of SPEs

The assets and liabilities of these vacation ownership SPEs are as follows (in millions):

	June 30, 2022		December 31, 2021
Securitized contract receivables, gross (a)	$	1,992	$	2,061
Securitized restricted cash (b)	83		84
Interest receivables on securitized contract receivables (c)	15		17
Other assets (d)	17		4
Total SPE assets	2,107		2,166
Non-recourse term notes (e) (f)	1,445		1,614
Non-recourse conduit facilities (e)	397		320
Other liabilities (g)	3		2
Total SPE liabilities	1,845		1,936
SPE assets in excess of SPE liabilities	$	262	$	230

(a)Included in Vacation ownership contract receivables, net on the Condensed Consolidated Balance Sheets.

(b)Included in Restricted cash on the Condensed Consolidated Balance Sheets.

(c)Included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

(d)Primarily includes deferred financing costs for the bank conduit facility and a security investment asset, which is included in Other assets on the Condensed Consolidated Balance Sheets.

(e)Included in Non-recourse vacation ownership debt on the Condensed Consolidated Balance Sheets.

(f)Includes deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021, related to non-recourse debt.

(g)Primarily includes accrued interest on non-recourse debt, which is included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

Summary Of Total Vacation Ownership Receivables And Other Securitized Assets, Net Of Securitized Liabilities And Allowance For Loan Losses

A summary of total vacation ownership receivables and other securitized assets, net of securitized liabilities and the allowance for loan losses, is as follows (in millions):

	June 30, 2022		December 31, 2021
SPE assets in excess of SPE liabilities	$	262	$	230
Non-securitized contract receivables	824		758
Less: allowance for loan losses	512		510
Total, net	$	574	$	478

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Fair Value (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value, by Balance Sheet Grouping

The carrying amounts and estimated fair values of all other financial instruments were as follows (in millions):

	June 30, 2022				December 31, 2021
	Carrying Amount		Estimated Fair Value		Carrying  Amount		Estimated Fair Value
Assets
Vacation ownership contract receivables, net (Level 3)	$	2,304	$	2,863	$	2,309	$	2,858
Liabilities
Debt (Level 2)	$	5,221	$	4,895	$	5,313	$	5,514

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Leases (Tables)

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

Lease, Cost [Table Text Block]

The table below presents information related to the lease costs for finance and operating leases (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Operating lease cost	$	6	$	6	$	12	$	11
Short-term lease cost	$	3	$	3	$	7	$	6
Finance lease cost:
Amortization of right-of-use assets	$	1	$	1	$	3	$	2
Interest on lease liabilities	—		—		—		—
Total finance lease cost	$	1	$	1	$	3	$	2

Leases, Assets and Liabilities [Table Text Block]

The table below presents the lease-related assets and liabilities recorded on the Condensed Consolidated Balance Sheets:

	Balance Sheet Classification	June 30, 2022			December 31, 2021
Operating leases (in millions):
Operating lease right-of-use assets	Other assets	$	69		$	79
Operating lease liabilities	Accrued expenses and other liabilities	$	122		$	136
Finance leases (in millions):
Finance lease assets (a)	Property and equipment, net	$	11		$	10
Finance lease liabilities	Debt	$	9		$	9
Weighted average remaining lease term:
Operating leases		6.0 years			6.4 years
Finance leases		2.7 years			2.6 years
Weighted average discount rate:
Operating leases (b)		5.8		%	5.8		%
Finance leases		4.3		%	4.4		%

(a)Presented net of accumulated depreciation.

(b)Upon adoption of the lease standard, discount rates used for existing leases were established at January 1, 2019.

Leases, Cash Flow Presentation [Table Text Block]

The table below presents supplemental cash flow information related to leases (in millions):

	Six Months Ended
	June 30,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	16	$	19
Operating cash flows from finance leases	$	—	$	—
Financing cash flows from finance leases	$	3	$	2
Right-of-use assets obtained in exchange for lease obligations:
Operating leases (a)	$	(1)	$	5
Finance leases	$	3	$	1

(a)Includes write-off of right-of-use assets during the six months ended June 30, 2022.

Leases, Liability Maturity [Table Text Block]

The table below presents maturities of lease liabilities as of June 30, 2022 (in millions):

	Operating Leases		Finance Leases
Six months ending December 31, 2022	$	16	$	2
2023	30		5
2024	28		3
2025	23		1
2026	14		—
Thereafter	34		—
Total minimum lease payments	145		11
Less: amount of lease payments representing interest	(23)		(2)
Present value of future minimum lease payments	$	122	$	9

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Accumulated Other Comprehensive (Loss)/Income (Tables)

6 Months Ended

Jun. 30, 2022

Jun. 30, 2021

Equity [Abstract]

Components Of Accumulated Other Comprehensive (Loss)/Income

The components of accumulated other comprehensive loss are as follows (in millions):

	Foreign		Unrealized		Accumulated
	Currency		(Losses)/Gains		Other
	Translation		on Cash Flow		Comprehensive
Pretax	Adjustments		Hedges		(Loss)/Income
Balance, December 31, 2021	$	(145)	$	(1)	$	(146)
Other comprehensive loss	(32)		—		(32)
Balance, June 30, 2022	$	(177)	$	(1)	$	(178)

Tax
Balance, December 31, 2021	$	97	$	1	$	98
Other comprehensive income	2		—		2
Balance, June 30, 2022	$	99	$	1	$	100

Net of Tax
Balance, December 31, 2021	$	(48)	$	—	$	(48)
Other comprehensive loss	(30)		—		(30)
Balance, June 30, 2022	$	(78)	$	—	$	(78)

	Foreign		Unrealized		Accumulated
	Currency		(Losses)/Gains		Other
	Translation		on Cash Flow		Comprehensive
Pretax	Adjustments		Hedges		(Loss)/Income
Balance, December 31, 2020	$	(113)	$	(1)	$	(114)
Other comprehensive loss	(11)		—		(11)
Balance, June 30, 2021	$	(124)	$	(1)	$	(125)

Tax
Balance, December 31, 2020	$	97	$	1	$	98
Other comprehensive income	—		—		—
Balance, June 30, 2021	$	97	$	1	$	98

Net of Tax
Balance, December 31, 2020	$	(16)	$	—	$	(16)
Other comprehensive loss	(11)		—		(11)
Balance, June 30, 2021	$	(27)	$	—	$	(27)

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Stock-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2022

Share-Based Payment Arrangement, Noncash Expense [Abstract]

Incentive Equity Awards Granted By The Company

The activity related to incentive equity awards granted to the Company’s key employees and senior officers by the Company for the six months ended June 30, 2022, consisted of the following (in millions, except grant prices):

	Balance, December 31, 2021		Granted		Vested /Exercised (a)		Cancelled / Forfeited (b)		Balance, June 30, 2022
RSUs
Number of RSUs	1.8		0.6		(0.5)		(0.1)		1.8		(c)
Weighted average grant price	$	47.83	$	52.84	$	48.85	$	46.58	$	49.11
PSUs
Number of PSUs	0.4		0.3		—		(0.1)		0.6		(d)
Weighted average grant price	$	48.18	$	52.87	$	—	$	44.43	$	51.30
NQs
Number of NQs	2.3		—		—		—		2.3		(e)
Weighted average grant price	$	45.32	$	—	$	—	$	—	$	45.33

(a)Upon exercise of NQs and upon vesting of RSUs and PSUs, the Company issues new shares to participants.

(b)The Company recognizes cancellations and forfeitures as they occur.

(c)Aggregate unrecognized compensation expense related to RSUs was $62 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.8 years.

(d)Aggregate unrecognized compensation expense related to PSUs that are probable of vesting was $15 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.5 years. The maximum amount of compensation expense associated with PSUs that are not probable of vesting could range up to $12 million over a weighted average period of 1.8 years.

(e)There were 1.4 million NQs which were exercisable as of June 30, 2022. These exercisable NQs will expire over a weighted average period of 6.6 years and carry a weighted average grant date fair value of $8.52. Unrecognized compensation expense for NQs was $6 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.0 years.

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]

The projected dividend yield was based on the Company’s anticipated annual dividend divided by the price of the Company’s stock on the date of the grant.

Stock Options	2021
Grant date fair value	$18.87
Grant date strike price	$59.00
Expected volatility	44.80%
Expected life (a)	6.25 years
Risk-free interest rate	1.09%
Projected dividend yield	3.12%

(a)The maximum contractual term for these options is 10 years.

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Segment Information (Tables)

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Summary Of Segment Information

The following tables present the Company’s segment information (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
Net revenues	2022		2021		2022		2021
Vacation Ownership	$	735	$	604	$	1,344	$	1,057
Travel and Membership	188		194		389		370
Total reportable segments	923		798		1,733		1,427
Corporate and other (a)	(1)		(1)		(2)		(2)
Total Company	$	922	$	797	$	1,731	$	1,425
	Three Months Ended				Six Months Ended
	June 30,				June 30,
Reconciliation of Net income to Adjusted EBITDA	2022		2021		2022		2021
Net income attributable to Travel + Leisure Co. shareholders	$	100	$	72	$	151	$	100
Loss on disposal of discontinued business, net of income taxes	—		2		—		2
Provision for income taxes	32		31		55		37
Depreciation and amortization	31		31		61		63
Interest expense	47		47		94		100
Interest (income)	(1)		(1)		(2)		(1)
Stock-based compensation	12		9		21		16
Unrealized loss on equity investment	8		—		8		—
Restructuring (b)	1		—		8		(1)
Legacy items	1		1		2		4
COVID-19 related costs (c)	—		1		2		2
Asset recoveries, net (d)	(1)		—		(1)		—
Adjusted EBITDA	$	230	$	193	$	399	$	322
	Three Months Ended				Six Months Ended
	June 30,				June 30,
Adjusted EBITDA	2022		2021		2022		2021
Vacation Ownership	$	187	$	137	$	291	$	204
Travel and Membership	64		71		146		146
Total reportable segments	251		208		437		350
Corporate and other (a)	(21)		(15)		(38)		(28)
Total Company	$	230	$	193	$	399	$	322

(a)Includes the elimination of transactions between segments.

(b)Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

(c)Includes expenses related to COVID-19 testing and other expenses associated with the Company’s return-to-work program in 2022. In 2021, this includes severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

(d)Includes $1 million of inventory impairments for the three and six months ended June 30, 2022, included in Cost of vacation ownership interests on the Condensed Consolidated Statements of Income.

Segment Assets (a)	June 30, 2022		December 31, 2021
Vacation Ownership	$	4,765	$	4,760
Travel and Membership	1,366		1,397
Total reportable segments	6,131		6,157
Corporate and other	346		431
Total Company	$	6,477	$	6,588

(a)Excludes investment in consolidated subsidiaries.

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COVID-19 Related Items (Tables)

6 Months Ended

Jun. 30, 2022

Jun. 30, 2021

Restructuring and Related Activities [Abstract]

COVID-19 Related Impacts [Table Text Block]

During the three months ended June 30, 2022, the Company had no expenses directly related to COVID-19. During the six months ended June 30, 2022, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Employee compensation related and other	$	—	$	—	$	2	$	2	COVID-19 related costs
Total COVID-19	$	—	$	—	$	2	$	2

During the three months ended June 30, 2021, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Allowance for loan losses:
Provision	$	(26)	$	—	$	—	$	(26)	Vacation ownership interest sales
Recoveries	10		—		—		10		Cost of vacation ownership interests
Employee compensation related and other	1		—		—		1		COVID-19 related costs
Total COVID-19	$	(15)	$	—	$	—	$	(15)

During the six months ended June 30, 2021, the Company had expenses directly related to COVID-19 as detailed in the table below (in millions):

	Vacation Ownership		Travel and Membership		Corporate		Consolidated		Income Statement Classification
Allowance for loan losses:
Provision	$	(26)	$	—	$	—	$	(26)	Vacation ownership interest sales
Recoveries	10		—		—		10		Cost of vacation ownership interests
Employee compensation related and other	1		—		1		2		COVID-19 related costs
Lease related	(1)		—		—		(1)		Restructuring
Total COVID-19	$	(16)	$	—	$	1	$	(15)

COVID-19 Related Liabilities [Table Text Block]

The activity associated with these COVID-19 related liabilities is summarized as follows (in millions):

	Liability as of						Liability as of
	December 31, 2021		Costs Recognized		Cash Payments		June 30, 2022
COVID-19 employee-related	$	1	$	2	$	(2)	$	1
	$	1	$	2	$	(2)	$	1

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Restructuring (Tables)

6 Months Ended

Jun. 30, 2022

Restructuring Charges [Abstract]

Activity Related To The Restructuring Costs

The activity associated with the Company’s restructuring plans is summarized as follows (in millions):

	Liability as of									Liability as of
	December 31, 2021		Costs Recognized (a)		Cash Payments		Other			June 30, 2022
Facility-related	$	22	$	1	$	(2)	$	—		$	21
Personnel-related	—		7		(1)		(3)		(b)	3
	$	22	$	8	$	(3)	$	(3)		$	24

(a)Included in Restructuring on the Condensed Consolidated Statements of Income.

(b)Represents $3 million of accelerated stock-based compensation expense for the six months ended June 30, 2022, included in Additional paid-in capital on the Condensed Consolidated Balance Sheets.

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Background and Basis of Presentation (Narrative) (Details)	6 Months Ended
	Jun. 30, 2022 segment brand
Background [Line Items]
Number of Reportable Segments | segment	2
Travel and Membership
Background [Line Items]
Number of brands | brand	3

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Revenue Recognition (Narrative) (Details)	6 Months Ended
	Jun. 30, 2022
Revenue from Contract with Customer [Abstract]
Expiration periods for non-cash incentives (or less)	18 months
Term of management services agreements (or less)	1 year
Fees For Property Management Services, Budgeted Operating Expenses, Percentage	10.00%

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Revenue Recognition (Prop Mgmt Rev) (Details) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) numberOfAssociations	Jun. 30, 2021 USD ($)
Disaggregation of Revenue [Line Items]
Net revenues	[1]	$ 922	$ 797	$ 1,731	$ 1,425
Operating Segments
Disaggregation of Revenue [Line Items]
Net revenues		923	798	1,733	1,427
Vacation Ownership | Operating Segments
Disaggregation of Revenue [Line Items]
Net revenues	[1]	735	604	1,344	1,057
Management fee revenues | Vacation Ownership
Disaggregation of Revenue [Line Items]
Net revenues	[2]	106	96	207	188
Reimbursable revenues | Vacation Ownership
Disaggregation of Revenue [Line Items]
Net revenues	[2]	83	70	167	139
Property management fees and reimbursable revenues | Vacation Ownership | Operating Segments
Disaggregation of Revenue [Line Items]
Net revenues	[1],[2]	189	166	374	327
Exchange-related revenue | Vacation Ownership
Disaggregation of Revenue [Line Items]
Net revenues		$ 9	$ 7	$ 17	$ 14
Managed property owner's associations that paid travel and membership exchange fees | numberOfAssociations				1

[1] This table reflects the reclassification of Extra Holidays from the Travel and Membership segment into the Vacation Ownership segment for all periods presented. Extra Holidays revenue is included within Property management fees and reimbursable revenues.

[2] Reflects the impact of reclassifying the Extra Holidays business line from the Travel and Membership segment to the Vacation Ownership segment.

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Revenue Recognition (Contract Liabilities) (Details) - USD ($) $ in Millions		6 Months Ended
		Jun. 30, 2022	Dec. 31, 2021	Jun. 30, 2021	Dec. 31, 2020
Disaggregation of Revenue [Line Items]
Contract liabilities		$ 391	$ 382	$ 419	$ 448
Contract with Customer, Liability, Revenue Recognition Term		1 year
Deferred subscription revenue
Disaggregation of Revenue [Line Items]
Contract liabilities		$ 169	166
Deferred VOI trial package revenue
Disaggregation of Revenue [Line Items]
Contract liabilities		$ 88	85
Deferred VOI trial package revenue | Vacation Ownership
Disaggregation of Revenue [Line Items]
Contract with Customer, Liability, Revenue Recognition Term		1 year
Deferred VOI incentive revenue
Disaggregation of Revenue [Line Items]
Contract liabilities		$ 60	55
Deferred exchange-related revenue
Disaggregation of Revenue [Line Items]
Contract liabilities	[1]	$ 59	61
Deferred exchange-related revenue | Travel and Membership
Disaggregation of Revenue [Line Items]
Contract with Customer, Liability, Revenue Recognition Term		1 year
Deferred co-branded credit card programs revenue
Disaggregation of Revenue [Line Items]
Contract liabilities		$ 10	12
Deferred other revenue
Disaggregation of Revenue [Line Items]
Contract liabilities		$ 5	$ 3

[1] Includes contractual liabilities to accommodate members for cancellations initiated by the Company due to unexpected events. These amounts are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

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Revenue Recognition Revenue Recognition (Contract Liabilities Rollforward) (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Revenue Recognition and Deferred Revenue [Abstract]
Contract liabilities, Beginning Balance	$ 382	$ 448
Additions	153	145
Revenue recognized	(144)	(174)
Contract liabilities, Ending Balance	$ 391	$ 419

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Revenue Recognition (Capitalized Contract Costs) (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Capitalized Contract Cost [Line Items]
Contract with Customer, Liability, Revenue Recognition Term	1 year
Vacation Ownership
Capitalized Contract Cost [Line Items]
Capitalized Contract Cost, Amortization Period	1 year
Other assets | Vacation Ownership
Capitalized Contract Cost [Line Items]
Capitalized contract costs	$ 29	$ 28
Other assets | Travel and Membership
Capitalized Contract Cost [Line Items]
Capitalized contract costs	$ 18	$ 19

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Revenue Recognition (Performance Obligations) (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021	Jun. 30, 2021	Dec. 31, 2020
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with Customer, Liability		$ 391	$ 382	$ 419	$ 448
Deferred subscription revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with Customer, Liability		169	166
Deferred VOI trial package revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with Customer, Liability		88	85
Deferred VOI incentive revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with Customer, Liability		60	55
Deferred exchange-related revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with Customer, Liability	[1]	59	61
Deferred co-branded credit card programs revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with Customer, Liability		10	12
Deferred other revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with Customer, Liability		5	$ 3
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 304
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | Deferred subscription revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 98
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | Deferred VOI trial package revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 83
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | Deferred VOI incentive revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 60
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | Deferred exchange-related revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 55
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | Deferred co-branded credit card programs revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 3
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | Deferred other revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 5
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 45
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Deferred subscription revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 38
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Deferred VOI trial package revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 1
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Deferred VOI incentive revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Deferred exchange-related revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 3
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Deferred co-branded credit card programs revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 3
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Deferred other revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 25
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Deferred subscription revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 17
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Deferred VOI trial package revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 4
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Deferred VOI incentive revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Deferred exchange-related revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 1
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Deferred co-branded credit card programs revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 3
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Deferred other revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 17
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Deferred subscription revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 16
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Deferred VOI trial package revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Deferred VOI incentive revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Deferred exchange-related revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Deferred co-branded credit card programs revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 1
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Deferred other revenue
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations		$ 0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period		1 year

[1] Includes contractual liabilities to accommodate members for cancellations initiated by the Company due to unexpected events. These amounts are included within Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

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Revenue Recognition Revenue Recognition (Disaggregation of Net Revenues) (Details) - USD ($) $ in Millions		3 Months Ended			6 Months Ended		12 Months Ended	21 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Mar. 31, 2020	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2021
Disaggregation of Revenue [Line Items]
Net revenues	[1]	$ 922	$ 797		$ 1,731	$ 1,425
Provision for loan losses					(125)	(71)
COVID-19 [Member] | Vacation ownership interest sales
Disaggregation of Revenue [Line Items]
Provision for loan losses			26	$ (225)		26	$ (205)	$ 111
Operating Segments
Disaggregation of Revenue [Line Items]
Net revenues		923	798		1,733	1,427
Corporate and other
Disaggregation of Revenue [Line Items]
Net revenues	[1],[2]	(1)	(1)		(2)	(2)
Corporate and other | Eliminations
Disaggregation of Revenue [Line Items]
Net revenues	[1]	(1)	(1)		(2)	(2)
Vacation Ownership | COVID-19 [Member] | Vacation ownership interest sales
Disaggregation of Revenue [Line Items]
Provision for loan losses			26			26
Vacation Ownership | Operating Segments
Disaggregation of Revenue [Line Items]
Net revenues	[1]	735	604		1,344	1,057
Vacation Ownership | Operating Segments | Vacation ownership interest sales
Disaggregation of Revenue [Line Items]
Net revenues	[1],[3]	400	294		697	466
Vacation Ownership | Operating Segments | Property management fees and reimbursable revenues
Disaggregation of Revenue [Line Items]
Net revenues	[1],[4]	189	166		374	327
Vacation Ownership | Operating Segments | Consumer financing
Disaggregation of Revenue [Line Items]
Net revenues	[1]	99	102		198	201
Vacation Ownership | Operating Segments | Fee-for-Service commissions
Disaggregation of Revenue [Line Items]
Net revenues	[1]	34	29		51	41
Vacation Ownership | Operating Segments | Ancillary revenues
Disaggregation of Revenue [Line Items]
Net revenues	[1]	13	13		24	22
Travel and Membership | COVID-19 [Member] | Vacation ownership interest sales
Disaggregation of Revenue [Line Items]
Provision for loan losses			0			0
Travel and Membership | Operating Segments
Disaggregation of Revenue [Line Items]
Net revenues	[1]	188	194		389	370
Travel and Membership | Operating Segments | Ancillary revenues
Disaggregation of Revenue [Line Items]
Net revenues	[1]	8	8		17	18
Travel and Membership | Operating Segments | Transaction revenues
Disaggregation of Revenue [Line Items]
Net revenues	[1]	135	143		282	268
Travel and Membership | Operating Segments | Subscription revenues
Disaggregation of Revenue [Line Items]
Net revenues	[1]	$ 45	$ 43		$ 90	$ 84

[1] This table reflects the reclassification of Extra Holidays from the Travel and Membership segment into the Vacation Ownership segment for all periods presented. Extra Holidays revenue is included within Property management fees and reimbursable revenues.

[2] Includes the elimination of transactions between segments.

[3] The Company increased its loan loss allowance by $205 million during 2020, due to an expected increase in net new defaults driven by higher unemployment associated with the novel coronavirus global pandemic (“COVID-19”). During the second quarter of 2021, the Company analyzed the adequacy of this COVID-19 related allowance consistent with past methodology, resulting in a $26 million reversal which is reflected as an increase in Vacation ownership interest sales on the Condensed Consolidated Statements of Income during the three and six months ended June 30, 2021.

[4] Reflects the impact of reclassifying the Extra Holidays business line from the Travel and Membership segment to the Vacation Ownership segment.

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Earnings Per Share (Computation Of Basic And Diluted EPS) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net income from continuing operations attributable to Travel + Leisure Co. shareholders		$ 100	$ 74	$ 151	$ 102
Loss on disposal of discontinued business, net of income taxes		0	(2)	0	(2)
Net income attributable to Travel + Leisure Co. shareholders		$ 100	$ 72	$ 151	$ 100
Basic earnings per share
Continuing operations	[1]	$ 1.17	$ 0.85	$ 1.76	$ 1.18
Discontinued operations	[1]	0	(0.02)	0	(0.02)
Basic earnings per share	[1]	1.17	0.83	1.76	1.16
Diluted earnings per share
Continuing operations	[1]	1.16	0.84	1.75	1.17
Discontinued operations	[1]	0	(0.02)	0	(0.02)
Diluted earnings per share	[1]	$ 1.16	$ 0.82	$ 1.75	$ 1.15
Basic weighted average shares outstanding (in shares)		85.0	86.5	85.5	86.4
Stock-settled appreciation rights (“SSARs”), RSUs, PSUs, and NQs (in shares)	[2],[3],[4]	0.7	0.9	0.9	0.7
Diluted weighted average shares outstanding (in shares)	[5]	85.7	87.4	86.4	87.1
Aggregate dividends paid to shareholders		$ 35	$ 27	$ 70	$ 53
Restricted Stock Units (RSUs)
Diluted earnings per share
Shares excluded from computation of diluted EPS (in shares)		0.7		0.8
Performance Shares [Member]
Diluted earnings per share
Shares excluded from computation of diluted EPS (in shares)		0.6	0.4	0.6	0.4
Share-based Payment Arrangement, Option [Member]
Diluted earnings per share
Shares excluded from computation of diluted EPS (in shares)		1.1	1.4	1.1	1.4

[1] Earnings per share amounts are calculated using whole numbers.

[2] Excludes 0.7 million and 0.8 million of restricted stock units (“RSUs”) that would have been anti-dilutive to EPS for the three and six months ended June 30, 2022. These shares could potentially dilute EPS in the future.

[3] Excludes 1.1 million of outstanding non-qualified stock options (“NQs”) that would have been anti-dilutive to EPS for both the three and six months ended June 30, 2022 and 1.4 million of outstanding NQs for both the three and six months ended June 30, 2021. These outstanding NQs could potentially dilute EPS in the future

[4] Excludes performance-vested restricted stock units (“PSUs”) of 0.6 million for both the three and six months ended June 30, 2022 and 0.4 million PSUs for both the three and six months ended June 30, 2021, as the Company has not met the required performance metrics. These PSUs could potentially dilute EPS in the future.

[5] The dilutive impact of the Company’s potential common stock is computed utilizing the treasury stock method using average market prices during the period.

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Earnings Per Share (Current Stock Repurchase Program) (Details) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2022 USD ($) shares	Jun. 30, 2022 USD ($) shares
Stock Repurchase Activity [Roll Forward]
Beginning Balance (in shares) | shares		136,320,631
Ending Balance (in shares) | shares	138,847,397	138,847,397
Treasury Stock, Value, Beginning Balance		$ 6,534
Treasury Stock, Value, Ending Balance	$ 6,663	$ 6,663
Share Repurchase Program
Stock Repurchase Activity [Roll Forward]
Beginning Balance (in shares) | shares		111,800,000
Repurchases | shares		2,500,000
Ending Balance (in shares) | shares	114,300,000	114,300,000
Treasury Stock, Value, Beginning Balance		$ 5,753
Repurchases		128
Treasury Stock, Value, Ending Balance	$ 5,881	5,881
Share repurchase authorization increase	500
Remaining authorized amount under share repurchases	$ 700	$ 700

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Acquisitions Narrative (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
	Jan. 05, 2021	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Business Acquisition [Line Items]
Payments to acquire business				$ 0	$ 37
Travel + Leisure
Business Acquisition [Line Items]
Business Combination, Consideration Transferred	$ 100
Travel + Leisure | Cash used in Investing Activities
Business Acquisition [Line Items]
Payments to acquire business	$ 35
Travel + Leisure | Cash used in financing activities
Business Acquisition [Line Items]
Payments to acquire business		$ 20	$ 20

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Discontinued Operations and Disposal Groups (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Loss on disposal of discontinued business, net of income taxes	$ 0	$ (2)	$ 0	$ (2)

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Vacation Ownership Contract Receivables (Current And Long-Term Vacation Ownership Contract Receivables) (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivables [Line Items]
Non-securitized contract receivables	[1]	$ 2,816		$ 2,816		$ 2,819
Financing Receivable, Allowance for Credit Loss		512	$ 573	512	$ 573	510	$ 693
Vacation ownership contract receivables, net		2,304		2,304		2,309
Interest income on securitized receivables		72	$ 77	141	$ 156
Securitized
Accounts, Notes, Loans and Financing Receivables [Line Items]
Non-securitized contract receivables	[2]	1,992		1,992		2,061
Securitized | Trade Accounts Receivable
Accounts, Notes, Loans and Financing Receivables [Line Items]
Interest receivables on securitized contract receivables		15		15		17
Non-securitized
Accounts, Notes, Loans and Financing Receivables [Line Items]
Non-securitized contract receivables	[3]	824		824		758
Non-securitized | Trade Accounts Receivable
Accounts, Notes, Loans and Financing Receivables [Line Items]
Interest receivables on securitized contract receivables		$ 7		$ 7		$ 5

[1] Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

[2] Excludes $15 million and $17 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

[3] Excludes $7 million and $5 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

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Vacation Ownership Contract Receivables (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended			6 Months Ended		12 Months Ended	21 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Mar. 31, 2020	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2021
Loans and Leases Receivable Disclosure [Line Items]
Interest income on securitized receivables	$ 72	$ 77		$ 141	$ 156
Originated vacation ownership contract receivables				555	299
Vacation ownership contract principal collections				$ 427	389
Weighted average interest rate	14.60%			14.60%			14.50%
Provision for Loan, Lease, and Other Losses	$ 76	33		$ 125	71
Provision for loan losses				$ 125	71
Minimum days which Company ceases to accrue interest on VOI contract receivables				90 days
VOI contract receivable written off as credit loss				120 days
Financing Receivable, Allowance for Credit Loss	512	573		$ 512	573	$ 693	$ 510
COVID-19 [Member]
Loans and Leases Receivable Disclosure [Line Items]
Financing Receivable, Allowance for Credit Loss	$ 0			$ 0			0
Vacation Ownership Interest Sales | COVID-19 [Member]
Loans and Leases Receivable Disclosure [Line Items]
Provision for loan losses		(26)	$ 225		(26)	205	(111)
Cost/(recovery) of vacation ownership interest [Member] | COVID-19 [Member]
Loans and Leases Receivable Disclosure [Line Items]
Estimated inventory recoveries during the period		$ (10)	$ 55		$ (10)	$ 48	$ (40)

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Vacation Ownership Contract Receivables (Allowance For Loan Losses On Vacation Ownership Contract Receivables) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Allowance for Loan Losses [Roll Forward]
Financing Receivable, Allowance for Credit Loss, Beginning Balance			$ 510	$ 693
Provision for loan losses	$ 76	$ 33	125	71
Contract receivables write-offs, net			(123)	(191)
Financing Receivable, Allowance for Credit Loss, Ending Balance	$ 512	$ 573	$ 512	$ 573

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Vacation Ownership Contract Receivables (Summary Of The Aged Analysis Of Financing Receivables Using The Most Recently Updated FICO Scores) (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables	[1]	$ 2,816	$ 2,819
Vacation ownership contract receivable, under temporary deferment		2	7
FICO Score, Greater than 700 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables	[1]	1,684	1,665
FICO Score, 600 to 699 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables	[1]	777	782
Less than 600
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables	[1]	128	124
No Score
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables	[1]	72	77
Asia Pacific
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables	[1]	155	171
Current
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		2,713	2,703
Current | FICO Score, Greater than 700 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		1,656	1,630
Current | FICO Score, 600 to 699 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		734	734
Current | Less than 600
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		102	98
Current | No Score
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		68	72
Current | Asia Pacific
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		153	169
31 - 60 days
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		49	55
31 - 60 days | FICO Score, Greater than 700 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		14	17
31 - 60 days | FICO Score, 600 to 699 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		22	24
31 - 60 days | Less than 600
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		10	10
31 - 60 days | No Score
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		2	3
31 - 60 days | Asia Pacific
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		1	1
61 - 90 days
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		31	29
61 - 90 days | FICO Score, Greater than 700 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		9	9
61 - 90 days | FICO Score, 600 to 699 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		12	12
61 - 90 days | Less than 600
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		8	7
61 - 90 days | No Score
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		1	1
61 - 90 days | Asia Pacific
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		1	0
91 - 120 days
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		23	32
91 - 120 days | FICO Score, Greater than 700 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		5	9
91 - 120 days | FICO Score, 600 to 699 [Member]
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		9	12
91 - 120 days | Less than 600
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		8	9
91 - 120 days | No Score
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		1	1
91 - 120 days | Asia Pacific
Financing Receivables, Recorded Investment [Line Items]
Non-securitized contract receivables		$ 0	$ 1

[1] Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

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Vacation Ownership Contract Receivables Vacation Ownership Contract Receivables (Year of Origination) (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021
Financing Receivable, Origination [Line Items]
Financing Receivable, Year One, Originated, Current Fiscal Year		$ 623	$ 815
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year		636	390
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year		288	581
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year		442	414
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year		341	273
Financing Receivable, Originated, More than Five Years before Current Fiscal Year		486	346
Non-securitized contract receivables	[1]	2,816	2,819
FICO Score, Greater than 700 [Member]
Financing Receivable, Origination [Line Items]
Financing Receivable, Year One, Originated, Current Fiscal Year		428	534
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year		365	224
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year		173	324
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year		246	234
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year		198	157
Financing Receivable, Originated, More than Five Years before Current Fiscal Year		274	192
Non-securitized contract receivables	[1]	1,684	1,665
FICO Score, 600 to 699 [Member]
Financing Receivable, Origination [Line Items]
Financing Receivable, Year One, Originated, Current Fiscal Year		142	221
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year		210	105
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year		77	168
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year		127	117
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year		92	76
Financing Receivable, Originated, More than Five Years before Current Fiscal Year		129	95
Non-securitized contract receivables	[1]	777	782
Less than 600
Financing Receivable, Origination [Line Items]
Financing Receivable, Year One, Originated, Current Fiscal Year		2	11
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year		33	17
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year		15	37
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year		30	25
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year		20	15
Financing Receivable, Originated, More than Five Years before Current Fiscal Year		28	19
Non-securitized contract receivables	[1]	128	124
No Score
Financing Receivable, Origination [Line Items]
Financing Receivable, Year One, Originated, Current Fiscal Year		14	11
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year		3	6
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year		5	19
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year		15	14
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year		12	11
Financing Receivable, Originated, More than Five Years before Current Fiscal Year		23	16
Non-securitized contract receivables	[1]	72	77
Asia Pacific
Financing Receivable, Origination [Line Items]
Financing Receivable, Year One, Originated, Current Fiscal Year		37	38
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year		25	38
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year		18	33
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year		24	24
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year		19	14
Financing Receivable, Originated, More than Five Years before Current Fiscal Year		32	24
Non-securitized contract receivables	[1]	$ 155	$ 171

[1] Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

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Inventory (Summary of Inventory) (Details) - USD ($) $ in Millions	Jun. 30, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Completed VOI inventory	$ 961	$ 998
Estimated VOI recoveries	184	187
VOI construction in process	37	13
Inventory sold subject to repurchase	6	13
Vacation exchange credits and other	3	4
Land held for VOI development	1	1
Total inventory	$ 1,192	$ 1,216

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Inventory (Narrative) (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Inventory [Line Items]
Inventory transferred to Property and Equipment	$ 71	$ 11
Las Vegas | Maximum [Member]
Inventory [Line Items]
Long-term Purchase Commitment, Amount	$ 65

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Inventory (Activity Related to Inventory Obligations) (Details) - USD ($) $ in Millions		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021
Inventory [Line Items]
Total Inventory obligations, Beginning Balance		$ 14	$ 83
Purchases		128	67
Payments		(93)	(109)
Total Inventory obligations, Ending Balance		49	41
Atlanta, GA
Inventory [Line Items]
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Beginning Balance	[1],[2]	0	0
Purchases	[1],[2]	67	0
Payments	[1],[2]	(67)	0
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Ending Balance	[1],[2]	0	0
Las Vegas
Inventory [Line Items]
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Beginning Balance	[1]	13	13
Purchases	[1]	27	2
Payments	[1]	0	(2)
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Ending Balance	[1]	40	13
Moab
Inventory [Line Items]
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Beginning Balance	[1]	0	31
Purchases	[1]	0	25
Payments	[1]	0	(56)
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Ending Balance	[1]	0	0
Orlando
Inventory [Line Items]
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Beginning Balance	[1]	0	22
Purchases	[1]	0	1
Payments	[1]	0	(5)
Inventory Sold Under Agreement to Repurchase, Repurchase Liability, Ending Balance	[1]	0	18
Other Inventory Sales
Inventory [Line Items]
Other inventory obligations, Beginning Balance	[3]	1	17
Purchases	[3]	34	39
Payments	[3]	(26)	(46)
Other inventory obligations, Ending Balance	[3]	$ 9	$ 10

[1] Included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

[2] Represents vacation ownership inventory and property and equipment in Atlanta, Georgia acquired from a third-party developer.

[3] Included in Accounts payable on the Condensed Consolidated Balance Sheets.

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Property and equipment (Details) - USD ($) $ in Millions	Jun. 30, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 1,721	$ 1,632
Less: accumulated depreciation and amortization	991	943
Property and equipment, net	730	689
Building and leasehold improvements
Property, Plant and Equipment [Line Items]
Total property and equipment	726	653
Capitalized software
Property, Plant and Equipment [Line Items]
Total property and equipment	716	707
Furniture, fixtures and equipment
Property, Plant and Equipment [Line Items]
Total property and equipment	206	204
Land
Property, Plant and Equipment [Line Items]
Total property and equipment	30	30
Finance leases
Property, Plant and Equipment [Line Items]
Total property and equipment	23	20
Construction in progress
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 20	$ 18

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Debt (Schedule of Long-term Debt Instruments) (Details) $ in Millions, $ in Millions, $ in Millions		6 Months Ended		12 Months Ended
		Jun. 30, 2022 USD ($)		Dec. 31, 2021 USD ($)	Jun. 30, 2022 AUD ($)	Jun. 30, 2022 NZD ($)	Mar. 04, 2022 USD ($)
Debt Instrument [Line Items]
Finance lease liabilities		$ 9
Long-term Debt		5,221
Term Notes [Member]
Debt Instrument [Line Items]
Debt financing cost		17		$ 18
Term Notes [Member] | Term Notes [Member]
Debt Instrument [Line Items]
Non-recourse vacation ownership debt (VIE)	[1],[2]	1,445		1,614
Non-recourse bank conduit facility [Member]
Debt Instrument [Line Items]
Non-recourse vacation ownership debt (VIE)	[3]	397
Line of Credit Facility, Maximum Borrowing Capacity	[3]	803
Non-recourse bank conduit facility [Member] | USD bank conduit facility (due August 2021) [Member]
Debt Instrument [Line Items]
Non-recourse vacation ownership debt (VIE)	[1],[4]	281		190
Debt instrument, face amount		600		800			$ 600
Non-recourse bank conduit facility [Member] | AUD/NZD bank conduit Facility (due September 2021) [Member]
Debt Instrument [Line Items]
Non-recourse vacation ownership debt (VIE)	[1],[5]	116		130
Line of Credit Facility, Maximum Borrowing Capacity					$ 250	$ 48
Non-Recourse Vacation Ownership Debt [Member]
Debt Instrument [Line Items]
Non-recourse vacation ownership debt (VIE)	[1]	1,842		1,934
Long-term Debt		1,842
Long-term vacation ownership contract receivables		2,110		2,170
Revolving Credit Facility | Secured Revolving Credit Facility due May 2023 | Revolving Credit Facility
Debt Instrument [Line Items]
Revolving credit facility	[7],[8]	0	[6]	$ 0
Debt instrument, face amount		1,000
Line of Credit Facility, Maximum Borrowing Capacity	[6]	$ 1,000
Weighted average coupon rate		4.59%		3.19%
Debt
Debt Instrument [Line Items]
Long-term Debt	[7]	$ 3,379		$ 3,379
Debt financing cost		7		8
Unamortized discount		18		20
Debt | $300 million secured term loan B (due May 2025) | Term Loan B [Member]
Debt Instrument [Line Items]
Debt	[7],[9]	287		$ 288
Debt instrument, face amount		$ 300
Weighted average coupon rate		2.73%		2.39%
Debt | 3.90% Secured Notes (Due March 2023) [Member]
Debt Instrument [Line Items]
Senior notes	[7],[10]	$ 401		$ 401
Debt instrument, face amount		400
Unamortized (gains)/losses from the settlement of a derivative		$ (1)		(2)
Debt Instrument, Interest Rate, Stated Percentage		3.90%			3.90%	3.90%
Debt | 5.40% Secured Notes (Due April 2024) [Member]
Debt Instrument [Line Items]
Senior notes	[7]	$ 299		299
Debt instrument, face amount		$ 300
Debt Instrument, Interest Rate, Stated Percentage		5.65%			5.65%	5.65%
Debt | 6.60% secured notes due October 2025 [Member]
Debt Instrument [Line Items]
Senior notes	[7],[11]	$ 346		345
Debt instrument, face amount		350
Unamortized (gains)/losses from the settlement of a derivative		$ 3		4
Debt Instrument, Interest Rate, Stated Percentage		6.60%			6.60%	6.60%
Debt | 6.625% Senior Secured Notes Due July 2026 [Member]
Debt Instrument [Line Items]
Senior notes	[7]	$ 644		643
Debt instrument, face amount		$ 650
Debt Instrument, Interest Rate, Stated Percentage		6.625%			6.625%	6.625%
Debt | 6.00% secured notes due April 2027 [Member]
Debt Instrument [Line Items]
Senior notes	[7],[12]	$ 406		407
Debt instrument, face amount		400
Unamortized (gains)/losses from the settlement of a derivative		$ (8)		(9)
Debt Instrument, Interest Rate, Stated Percentage		6.00%			6.00%	6.00%
Debt | 4.50% Secured Notes (due Dec 2029)
Debt Instrument [Line Items]
Senior notes	[7]	$ 641		641
Debt instrument, face amount		$ 650
Debt Instrument, Interest Rate, Stated Percentage		4.50%			4.50%	4.50%
Debt | 4.625% Secured notes due March 2030 [Member]
Debt Instrument [Line Items]
Senior notes	[7]	$ 346		346
Debt instrument, face amount		$ 350
Debt Instrument, Interest Rate, Stated Percentage		4.625%			4.625%	4.625%
Debt | Finance leases [Member]
Debt Instrument [Line Items]
Finance lease liabilities	[7]	$ 9		$ 9

[1] Represents non-recourse debt that is securitized through bankruptcy-remote special purpose entities, the creditors of which have no recourse to the Company for principal and interest. These outstanding borrowings (which legally are not liabilities of the Company) are collateralized by $2.11 billion and $2.17 billion of underlying gross VOCRs and related assets (which legally are not assets of the Company) as of June 30, 2022 and December 31, 2021.

[2] The carrying amounts of the term notes are net of deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021.

[3] Consists of the Company’s USD bank conduit facility and AUD/NZD bank conduit facility. The capacity of these facilities is subject to the Company’s ability to provide additional assets to collateralize additional non-recourse borrowings.

[4] The Company has a borrowing capacity of $600 million under the USD bank conduit facility through July 2024. Borrowings under this facility are required to be repaid as the collateralized receivables amortize but no later than August 2025.

[5] The Company has a borrowing capacity of 250 million Australian dollars (“AUD”) and 48 million New Zealand dollars (“NZD”) under the AUD/NZD bank conduit facility through April 2023. Borrowings under this facility are required to be repaid no later than May 2025.

[6] Consists of the Company’s $1.0 billion secured revolving credit facility.

[7] The carrying amounts of the secured notes and term loan are net of unamortized discounts of $18 million and $20 million as of June 30, 2022 and December 31, 2021, and net of unamortized debt financing costs of $7 million and $8 million as of June 30, 2022 and December 31, 2021.

[8] The weighted average effective interest rate on borrowings from this facility was 4.59% and 3.19% as of June 30, 2022 and December 31, 2021.

[9] The weighted average effective interest rate on borrowings from this facility was 2.73% and 2.39% as of June 30, 2022 and December 31, 2021.

[10] Includes $1 million and $2 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

[11] Includes $3 million and $4 million of unamortized losses from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

[12] Includes $8 million and $9 million of unamortized gains from the settlement of a derivative as of June 30, 2022 and December 31, 2021.

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Debt Debt (Narrative) (Details) - USD ($) $ in Millions	Jun. 30, 2022	Mar. 23, 2022	Mar. 04, 2022	Dec. 31, 2021
Sierra Timeshare 2022-1
Debt Instrument [Line Items]
Debt instrument, face amount		$ 275
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate		3.84%
Debt Instrument, Advance Rate		98.00%
USD bank conduit facility (due August 2021) [Member] | Non-recourse bank conduit facility [Member]
Debt Instrument [Line Items]
Debt instrument, face amount	$ 600		$ 600	$ 800

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Debt (Summary Of Outstanding Debt Maturities) (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Within 1 year		$ 691
Between 1 and 2 years		489
Between 2 and 3 years		541
Between 3 and 4 years		706
Between 4 and 5 years		1,245
Thereafter		1,549
Total long-term debt		5,221
Non-Recourse Vacation Ownership Debt [Member]
Debt Instrument [Line Items]
Within 1 year		284
Between 1 and 2 years		184
Between 2 and 3 years		258
Between 3 and 4 years		360
Between 4 and 5 years		195
Thereafter		561
Total long-term debt		1,842
Debt
Debt Instrument [Line Items]
Within 1 year		407
Between 1 and 2 years		305
Between 2 and 3 years		283
Between 3 and 4 years		346
Between 4 and 5 years		1,050
Thereafter		988
Total long-term debt	[1]	$ 3,379	$ 3,379

[1] The carrying amounts of the secured notes and term loan are net of unamortized discounts of $18 million and $20 million as of June 30, 2022 and December 31, 2021, and net of unamortized debt financing costs of $7 million and $8 million as of June 30, 2022 and December 31, 2021.

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Debt (Summary Of Available Capacity Under Borrowing Arrangements) (Details) - USD ($) $ in Millions		Jun. 30, 2022		Dec. 31, 2021
Non-recourse bank conduit facility [Member]
Debt Instrument [Line Items]
Total capacity	[1]	$ 803
Less: Outstanding borrowings	[1]	397
Letters of Credit Outstanding, Amount	[1]	0
Available capacity	[1]	406
Revolving Credit Facility | Revolving Credit Facility | Secured Revolving Credit Facility due May 2023
Debt Instrument [Line Items]
Total capacity	[2]	1,000
Less: Outstanding borrowings	[3],[4]	0	[2]	$ 0
Letters of Credit Outstanding, Amount	[2]	2
Available capacity	[2]	998
Debt instrument, face amount		$ 1,000

[1] Consists of the Company’s USD bank conduit facility and AUD/NZD bank conduit facility. The capacity of these facilities is subject to the Company’s ability to provide additional assets to collateralize additional non-recourse borrowings.

[2] Consists of the Company’s $1.0 billion secured revolving credit facility.

[3] The carrying amounts of the secured notes and term loan are net of unamortized discounts of $18 million and $20 million as of June 30, 2022 and December 31, 2021, and net of unamortized debt financing costs of $7 million and $8 million as of June 30, 2022 and December 31, 2021.

[4] The weighted average effective interest rate on borrowings from this facility was 4.59% and 3.19% as of June 30, 2022 and December 31, 2021.

XML

Debt (Debt Covenants) (Details)	3 Months Ended
	Sep. 30, 2022	Jul. 01, 2022	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Maximum leverage ratio			4.25
Minimum interest coverage ratio			2.50
Interest Coverage Ratio			4.62
First Lien Leverage Ratio			3.72
Revolving Credit Facility | Second Amendment
Debt Instrument [Line Items]
Maximum leverage ratio			4.75	4.75
Revolving Credit Facility | Subsequent Event [Member] | Second Amendment
Debt Instrument [Line Items]
Maximum leverage ratio		4.25
Debt Instrument, Interest Rate, Increase (Decrease)	(0.25%)
Revolving Credit Facility | Maximum [Member] | Second Amendment
Debt Instrument [Line Items]
Debt Instrument, Covenant, Leverage Ratio, Tier			3.75

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Debt (Interest Expense Narrative) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Debt Instrument [Line Items]
Interest expense	$ 47	$ 47	$ 94	$ 100
Capitalized Interest Costs, Including Allowance for Funds Used During Construction	1	1	1	1
Consumer financing interest	17	20	34	44
consumer finance interest [Member]
Debt Instrument [Line Items]
Consumer financing interest	$ 17	$ 20	34	44
Debt
Debt Instrument [Line Items]
Cash paid for interest			94	105
Non-Recourse Vacation Ownership Debt [Member]
Debt Instrument [Line Items]
Cash paid for interest			$ 24	$ 31

XML

Variable Interest Entities (Assets And Liabilities Of Vacation Ownership SPEs) (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021	Jun. 30, 2021
Schedule Of Transfer And Financial Assets [Line Items]
Restricted cash (VIE - $83 as of 2022 and $84 as of 2021)		$ 137	$ 128	$ 118
Other assets		352	339
Total assets		6,477	6,588
Total SPE liabilities		7,323	7,382
Variable Interest Entity, Primary Beneficiary [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Restricted cash (VIE - $83 as of 2022 and $84 as of 2021)		83	84
Vacation Ownership SPEs
Schedule Of Transfer And Financial Assets [Line Items]
Deferred financing cost related to securitized debt		17	18
Vacation Ownership SPEs | Variable Interest Entity, Primary Beneficiary [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Securitized contract receivables, gross	[1]	1,992	2,061
Restricted cash (VIE - $83 as of 2022 and $84 as of 2021)	[2]	83	84
Interest receivables on securitized contract receivables	[3]	15	17
Other assets	[4]	17	4
Total assets		2,107	2,166
Other liabilities	[5]	3	2
Total SPE liabilities		1,845	1,936
SPE assets in excess of SPE liabilities		262	230
Term Notes [Member] | Vacation Ownership SPEs | Variable Interest Entity, Primary Beneficiary [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Non-recourse vacation ownership debt (VIE)	[6],[7]	1,445	1,614
Non-recourse bank conduit facility [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Non-recourse vacation ownership debt (VIE)	[8]	397
Non-recourse bank conduit facility [Member] | Vacation Ownership SPEs | Variable Interest Entity, Primary Beneficiary [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Non-recourse vacation ownership debt (VIE)	[6]	$ 397	$ 320

[1] Included in Vacation ownership contract receivables, net on the Condensed Consolidated Balance Sheets.

[2] Included in Restricted cash on the Condensed Consolidated Balance Sheets.

[3] Included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

[4] Primarily includes deferred financing costs for the bank conduit facility and a security investment asset, which is included in Other assets on the Condensed Consolidated Balance Sheets.

[5] Primarily includes accrued interest on non-recourse debt, which is included in Accrued expenses and other liabilities on the Condensed Consolidated Balance Sheets.

[6] Included in Non-recourse vacation ownership debt on the Condensed Consolidated Balance Sheets.

[7] Includes deferred financing costs of $17 million and $18 million as of June 30, 2022 and December 31, 2021, related to non-recourse debt.

[8] Consists of the Company’s USD bank conduit facility and AUD/NZD bank conduit facility. The capacity of these facilities is subject to the Company’s ability to provide additional assets to collateralize additional non-recourse borrowings.

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Variable Interest Entities (Narrative) (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021
Schedule Of Transfer And Financial Assets [Line Items]
Non-securitized contract receivables	[1]	$ 2,816	$ 2,819
Non Securitized Receivable [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Non-securitized contract receivables	[2]	824	758
Non Securitized Receivable [Member] | Variable Interest Entity, Primary Beneficiary [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Non-securitized contract receivables		$ 824	$ 758

[1] Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

[2] Excludes $7 million and $5 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

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Variable Interest Entities (Summary Of Total Vacation Ownership Receivables And Other Securitized Assets, Net Of Securitized Liabilities And Allowance For Loan Losses) (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021
Schedule Of Transfer And Financial Assets [Line Items]
Non-securitized contract receivables	[1]	$ 2,816	$ 2,819
Non Securitized Receivable [Member]
Schedule Of Transfer And Financial Assets [Line Items]
Non-securitized contract receivables	[2]	824	758
Variable Interest Entity, Primary Beneficiary [Member] | Non Securitized Receivable [Member]
Schedule Of Transfer And Financial Assets [Line Items]
SPE assets in excess of SPE liabilities		262	230
Non-securitized contract receivables		824	758
Less: allowance for loan losses		512	510
Total, net		$ 574	$ 478

[1] Includes contracts under temporary deferment (up to 180 days) of $2 million and $7 million as of June 30, 2022 and December 31, 2021.

[2] Excludes $7 million and $5 million of accrued interest on VOCRs as of June 30, 2022 and December 31, 2021, which are included in Trade receivables, net on the Condensed Consolidated Balance Sheets.

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Fair Value (Carrying Amounts And Estimated Fair Values Of Financial Instruments) (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2019	Jun. 30, 2022	Dec. 31, 2021
Fair Value, Inputs, Level 3 [Member] | Reported Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Vacation ownership contract receivables, net (Level 3)		$ 2,304	$ 2,309
Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Vacation ownership contract receivables, net (Level 3)		2,863	2,858
Fair Value, Inputs, Level 2 [Member] | Reported Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt (Level 2)		5,221	5,313
Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt (Level 2)		4,895	5,514
Fair Value, Inputs, Level 1 | Estimate of Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Equity Securities, FV-NI		4	$ 13
North American Vacation Rentals
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Disposal Group, Including Discontinued Operation, Consideration	$ 162
Proceeds from Divestiture of Businesses	156
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable	$ 10
Foreign Exchange Contracts | Recurring Basis | Other assets | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset		1
Foreign Exchange Contracts | Recurring Basis | Accrued expenses and other liabilities | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Liability		$ 1

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Derivative Instruments And Hedging Activities Derivative Instruments and Hedging Activities (Details) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022 USD ($) numberOfInterestRateDerivatives	Jun. 30, 2021 USD ($) numberOfInterestRateDerivatives	Jun. 30, 2022 USD ($) numberOfInterestRateDerivatives	Jun. 30, 2021 USD ($) numberOfInterestRateDerivatives
Interest Rate Contract [Member]
Derivative [Line Items]
Number of Interest Rate Derivatives Held | numberOfInterestRateDerivatives	0	0	0	0
Foreign Exchange Contracts | Designated as Hedging Instrument
Derivative [Line Items]
Unrealized Loss on Foreign Currency Derivatives, before Tax | $	$ 0	$ 0	$ 0	$ 0

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Income Taxes (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income tax payments, net of refunds			$ 88	$ 65
Latest Tax Year
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Effective income tax rate	24.30%		26.80%
Earliest Tax Year
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Effective income tax rate		29.50%		26.60%

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Leases Narrative (Details)	6 Months Ended
	Jun. 30, 2022
Minimum [Member]
Lessee, Operating Lease, Remaining Lease Term	1 year
Maximum [Member]
Lessee, Operating Lease, Remaining Lease Term	20 years
Lessee, Operating Lease, Renewal Term	10 years
Lessee, Operating Lease, Termination Period	1 year

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Leases Costs (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Leases [Abstract]
Operating lease cost	$ 6	$ 6	$ 12	$ 11
Short-term lease cost	3	3	7	6
Amortization of right-of-use assets	1	1	3	2
Interest on lease liabilities	0	0	0	0
Total finance lease cost	$ 1	$ 1	$ 3	$ 2

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Leases, Assets and Liabilities (Details) - USD ($) $ in Millions		Jun. 30, 2022	Dec. 31, 2021
Operating lease liabilities		$ 122
Finance lease liabilities		$ 9
Operating Lease, Weighted Average Remaining Lease Term		6 years	6 years 4 months 24 days
Finance Lease, Weighted Average Remaining Lease Term		2 years 8 months 12 days	2 years 7 months 6 days
Operating Lease, Weighted Average Discount Rate, Percent	[1]	5.80%	5.80%
Finance Lease, Weighted Average Discount Rate, Percent		4.30%	4.40%
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]		Other assets	Other assets
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration]		Other Liabilities	Other Liabilities
Finance Leased Asset, Type [Extensible Enumeration]		Property and equipment, net	Property and equipment, net
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration]		Debt	Debt
Other assets
Operating lease right-of-use assets		$ 69	$ 79
Accrued expenses and other liabilities
Operating lease liabilities		122	136
Property and equipment, net
Finance lease assets	[2]	11	10
Debt
Finance lease liabilities		$ 9	$ 9

[1] Upon adoption of the lease standard, discount rates used for existing leases were established at January 1, 2019.

[2] Presented net of accumulated depreciation.

XML

Leases Leases, Cash Flow Presentation (Details) - USD ($) $ in Millions		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021
Leases [Abstract]
Operating cash flows from operating leases		$ 16	$ 19
Operating cash flows from finance leases		0	0
Financing cash flows from finance leases		3	2
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability	[1]	(1)	5
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability		$ 3	$ 1

[1] Includes write-off of right-of-use assets during the six months ended June 30, 2022.

XML

Leases Maturity (Details) $ in Millions	Jun. 30, 2022 USD ($)
Leases [Abstract]
Lessee, Operating Lease, Liability, to be Paid, Remainder of Fiscal Year	$ 16
Finance Lease, Liability, to be Paid, Remainder of Fiscal Year	2
Lessee, Operating Lease, Liability, to be Paid, Year One	30
Finance Lease, Liability, to be Paid, Year One	5
Lessee, Operating Lease, Liability, to be Paid, Year Two	28
Finance Lease, Liability, to be Paid, Year Two	3
Lessee, Operating Lease, Liability, to be Paid, Year Three	23
Finance Lease, Liability, to be Paid, Year Three	1
Lessee, Operating Lease, Liability, to be Paid, Year Four	14
Finance Lease, Liability, to be Paid, Year Four	0
Lessee, Operating Lease, Liability, to be Paid, after Year Five	34
Finance Lease, Liability, to be Paid, after Year Five	0
Lessee, Operating Lease, Liability, to be Paid	145
Finance Lease, Liability, Payment, Due	11
Operating lease, Amount of lease payments representing interest	(23)
Capital Leases, Amount of lease payments representing interest	(2)
Operating lease liabilities	122
Finance lease liabilities	$ 9

XML

Commitments And Contingencies (Narrative) (Details) - USD ($) $ in Millions	Jun. 30, 2022	Dec. 31, 2021
Commitments And Contingencies [Line Items]
Estimated Litigation Liability	$ 21	$ 19
Maximum [Member]
Commitments And Contingencies [Line Items]
Loss Contingency, Range of Possible Loss, Portion Not Accrued	34
Maximum [Member] | Unasserted Claim [Member]
Commitments And Contingencies [Line Items]
Loss Contingency, Range of Possible Loss, Portion Not Accrued	$ 1

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Accumulated Other Comprehensive (Loss)/Income (Components Of Accumulated Other Comprehensive (Loss)/Income) (Details) - USD ($) $ in Millions	3 Months Ended				6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Jun. 30, 2021
Accumulated Other Comprehensive Loss, Net Of Tax
Beginning Balance, value	$ (811)	$ (794)	$ (976)	$ (968)	$ (794)	$ (968)
Ending Balance, value	(846)	(811)	(918)	(976)	(846)	(918)
Net income attributable to Travel + Leisure Co. shareholders	100	51	72	29	151	100
Reclassification out of Accumulated Other Comprehensive Income
Accumulated Other Comprehensive Loss, Net Of Tax
Net income attributable to Travel + Leisure Co. shareholders					0	0
Foreign Currency Translation Adjustments
Accumulated Other Comprehensive Loss, Before Tax
AOCL, Pretax, Beginning Balance		(145)		(113)	(145)	(113)
Other Comprehensive Income (Loss), before Tax					(32)	(11)
AOCL, Pretax, Ending Balance	(177)		(124)		(177)	(124)
Accumulated Other Comprehensive Loss, Tax
AOCI, Tax, Beginning Balance		97		97	97	97
Other Comprehensive Income (Loss), Tax					2	0
AOCI, Tax, Ending Balance	99		97		99	97
Accumulated Other Comprehensive Loss, Net Of Tax
Beginning Balance, value		(48)		(16)	(48)	(16)
Other comprehensive loss					(30)	(11)
Ending Balance, value	(78)		(27)		(78)	(27)
Unrealized (losses)/Gains on Cash Flow Hedges
Accumulated Other Comprehensive Loss, Before Tax
AOCL, Pretax, Beginning Balance		(1)		(1)	(1)	(1)
Other Comprehensive Income (Loss), before Tax					0	0
AOCL, Pretax, Ending Balance	(1)		(1)		(1)	(1)
Accumulated Other Comprehensive Loss, Tax
AOCI, Tax, Beginning Balance		1		1	1	1
Other Comprehensive Income (Loss), Tax					0	0
AOCI, Tax, Ending Balance	1		1		1	1
Accumulated Other Comprehensive Loss, Net Of Tax
Beginning Balance, value		0		0	0	0
Other comprehensive loss					0	0
Ending Balance, value	0		0		0	0
Accumulated Other Comprehensive (Loss)/Income
Accumulated Other Comprehensive Loss, Before Tax
AOCL, Pretax, Beginning Balance		(146)		(114)	(146)	(114)
Other Comprehensive Income (Loss), before Tax					(32)	(11)
AOCL, Pretax, Ending Balance	(178)		(125)		(178)	(125)
Accumulated Other Comprehensive Loss, Tax
AOCI, Tax, Beginning Balance		98		98	98	98
Other Comprehensive Income (Loss), Tax					2	0
AOCI, Tax, Ending Balance	100		98		100	98
Accumulated Other Comprehensive Loss, Net Of Tax
Beginning Balance, value		$ (48)		$ (16)	(48)	(16)
Other comprehensive loss					(30)	(11)
Ending Balance, value	$ (78)		$ (27)		$ (78)	$ (27)

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Stock-Based Compensation (Narrative) (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum shares of common stock to be awarded	15.7		15.7
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	10.8		10.8
Stock-based compensation	$ 12	$ 9	$ 24	$ 16
Share-based Payment Arrangement, Expense, Tax Benefit			7	4
Payment of taxes for net share settlement			$ 6	$ 9
Share-based Compensation Arrangement by Share-based Payment Award, Discount from Market Price, Purchase Date			10.00%
Stock Issued During Period, Shares, Employee Stock Ownership Plan			0.1	0.1
Employee Stock Ownership Plan (ESOP), Compensation Expense			$ 1	$ 1
Restructuring Charges
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation			3
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares Granted, Value, Share-based Payment Arrangement, before Forfeiture			$ 31	33
Vesting terms, in years			4 years
PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares Granted, Value, Share-based Payment Arrangement, before Forfeiture			$ 13	7
Vesting terms, in years			3 years
NQs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares Granted, Value, Share-based Payment Arrangement, before Forfeiture			$ 0	2
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value		$ 1	1	1
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value			$ 4	$ 4

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Stock-Based Compensation Stock-Based Compensation (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions		6 Months Ended		12 Months Ended
		Jun. 30, 2022		Dec. 31, 2021
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount		$ 62
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition		2 years 9 months 18 days
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Weighted Average Grant Price, Beginning Balance (in dollars per share)		$ 47.83
Weighted Average Grant Price, Granted (in dollars per share)		52.84
Weighted Average Grant Price, Vested/exercised (in dollars per share)	[1]	48.85
Weighted Average Grant Price, Forfeitures (in dollars)	[2]	46.58
Weighted Average Grant Price, Ending Balance (in dollars per share)		$ 49.11		$ 47.83
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward]
Number of Units, Beginning Balance (shares)		1.8
Number of Units, Granted (shares)		0.6
Number of Units, Vested/exercised (shares)	[1]	(0.5)
Number of Units, Forfeitures (shares)	[2]	(0.1)
Number of Units, Ending Balance (shares)		1.8	[3]	1.8
PSUs
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Weighted Average Grant Price, Beginning Balance (in dollars per share)		$ 48.18
Weighted Average Grant Price, Granted (in dollars per share)		52.87
Weighted Average Grant Price, Vested/exercised (in dollars per share)	[1]	0
Weighted Average Grant Price, Forfeitures (in dollars)	[2]	44.43
Weighted Average Grant Price, Ending Balance (in dollars per share)		$ 51.30		$ 48.18
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward]
Number of Units, Beginning Balance (shares)		0.4
Number of Units, Granted (shares)		0.3
Number of Units, Vested/exercised (shares)	[1]	0.0
Number of Units, Forfeitures (shares)	[2]	(0.1)
Number of Units, Ending Balance (shares)		0.6	[4]	0.4
PSUs | Probable
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount		$ 15
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition		2 years 6 months
PSUs | Maximum [Member] | Not probable
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount		$ 12
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition		1 year 9 months 18 days
NQs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount		$ 6
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition		2 years
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Option, Nonvested, Weighted Average Exercise Price, Beginning Balance		$ 45.32
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price		0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercised, Weighted Average Grant Date Fair Value	[1]	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Intrinsic Value	[2]	0
Share-based Compensation Arrangement by Share-based Payment Award, Option, Nonvested, Weighted Average Exercise Price, Ending Balance		$ 45.33		$ 45.32
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares, Beginning Balance		2.3
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross		0.0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercised, Weighted Average Grant Date Fair Value	[1]	0.0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period	[2]	0.0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares, Ending Balance		2.3	[5]	2.3
NQs | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period				10 years
NQs | Exercisable options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Option, Exercise Price Range, Shares Exercisable		1.4
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period		6 years 7 months 6 days
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercised, Weighted Average Grant Date Fair Value		$ 8.52

[1] Upon exercise of NQs and upon vesting of RSUs and PSUs, the Company issues new shares to participants.

[2] The Company recognizes cancellations and forfeitures as they occur.

[3] Aggregate unrecognized compensation expense related to RSUs was $62 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.8 years.

[4] Aggregate unrecognized compensation expense related to PSUs that are probable of vesting was $15 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.5 years. The maximum amount of compensation expense associated with PSUs that are not probable of vesting could range up to $12 million over a weighted average period of 1.8 years.

[5] There were 1.4 million NQs which were exercisable as of June 30, 2022. These exercisable NQs will expire over a weighted average period of 6.6 years and carry a weighted average grant date fair value of $8.52. Unrecognized compensation expense for NQs was $6 million as of June 30, 2022, which is expected to be recognized over a weighted average period of 2.0 years

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Stock-Based Compensation (Incentive Equity Awards Granted By The Company) (Details) - NQs	12 Months Ended
	Dec. 31, 2021 USD ($) $ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grant date fair value | $	$ 18.87
Grant date strike price | $ / shares	$ 59.00
Expected volatility	44.80%
Expected life	6 years 3 months	[1]
Risk-free interest rate	1.09%
Projected dividend yield	3.12%

[1] The maximum contractual term for these options is 10 years

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Segment Information (Summary Of Segment Information) (Details) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) segment		Jun. 30, 2021 USD ($)	Dec. 31, 2021 USD ($)
Segment Reporting Information [Line Items]
Number of Reportable Segments | segment				2
Net revenues
Net revenues	[1]	$ 922	$ 797	$ 1,731		$ 1,425
Reconciliation of Net income to Adjusted EBITDA
Net income attributable to Travel + Leisure Co. shareholders		100	72	151		100
Loss on disposal of discontinued business, net of income taxes		0	2	0		2
Provision for income taxes		32	31	55		37
Depreciation and amortization		31	31	61		63
Interest expense		47	47	94		100
Interest (income)		(1)	(1)	(2)		(1)
Stock-based compensation		12	9	24		16
Unrealized loss on equity investment		8	0	8		0
Restructuring	[2]	1	0	8	[3]	(1)
Asset recoveries, net		(2)	0	(1)		0
Legacy items		1	1	2		4
Adjusted EBITDA		230	193	399		322
Assets, Net of Investment in Unconsolidated Subsidiaries	[4]	6,477		6,477			$ 6,588
Asset impairments				(1)		0
Restructuring Charges
Reconciliation of Net income to Adjusted EBITDA
Stock-based compensation				3
General and Administrative Expense [Member]
Reconciliation of Net income to Adjusted EBITDA
Stock-based compensation		12		21
Cost/(recovery) of vacation ownership interest [Member]
Reconciliation of Net income to Adjusted EBITDA
Asset impairments		1		1
Cost of vacation ownership interest/Asset Impairment
Reconciliation of Net income to Adjusted EBITDA
Asset recoveries, net	[5]	(1)	0	(1)		0
COVID-19 [Member]
Reconciliation of Net income to Adjusted EBITDA
COVID-19 related costs Adj EBITDA	[6]	0	1	2		2
Operating Segments
Net revenues
Net revenues		923	798	1,733		1,427
Reconciliation of Net income to Adjusted EBITDA
Adjusted EBITDA		251	208	437		350
Assets, Net of Investment in Unconsolidated Subsidiaries	[4]	6,131		6,131			6,157
Corporate and other
Net revenues
Net revenues	[1],[7]	(1)	(1)	(2)		(2)
Reconciliation of Net income to Adjusted EBITDA
Adjusted EBITDA	[7]	(21)	(15)	(38)		(28)
Assets, Net of Investment in Unconsolidated Subsidiaries	[4]	346		346			431
Vacation Ownership | Operating Segments
Net revenues
Net revenues	[1]	735	604	1,344		1,057
Reconciliation of Net income to Adjusted EBITDA
Adjusted EBITDA		187	137	291		204
Assets, Net of Investment in Unconsolidated Subsidiaries	[4]	4,765		4,765			4,760
Travel and Membership | Operating Segments
Net revenues
Net revenues	[1]	188	194	389		370
Reconciliation of Net income to Adjusted EBITDA
Adjusted EBITDA		64	$ 71	146		$ 146
Assets, Net of Investment in Unconsolidated Subsidiaries	[4]	$ 1,366		$ 1,366			$ 1,397

[1] This table reflects the reclassification of Extra Holidays from the Travel and Membership segment into the Vacation Ownership segment for all periods presented. Extra Holidays revenue is included within Property management fees and reimbursable revenues.

[2] Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

[3] Included in Restructuring on the Condensed Consolidated Statements of Income.

[4] Excludes investment in consolidated subsidiaries.

[5] Includes $1 million of inventory impairments for the three and six months ended June 30, 2022, included in Cost of vacation ownership interests on the Condensed Consolidated Statements of Income.

[6] Includes expenses related to COVID-19 testing and other expenses associated with the Company’s return-to-work program in 2022. In 2021, this includes severance and other employee costs associated with layoffs due to the COVID-19 workforce reduction offset in part by U.S. and international government employee retention credits.

[7] Includes the elimination of transactions between segments.

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COVID-19 Related Impacts (Details) - USD ($) $ in Millions		3 Months Ended			6 Months Ended			12 Months Ended	21 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Mar. 31, 2020	Jun. 30, 2022		Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2021
COVID-19 Related Items [Line Items]
Provision for loan losses					$ 125		$ 71
COVID-19 related costs		$ 0	$ 1		2		2
Restructuring	[1]	$ 1	0		8	[2]	(1)
Restructuring Plan 2020 [Member]
COVID-19 Related Items [Line Items]
Restructuring								$ 37
COVID-19 [Member]
COVID-19 Related Items [Line Items]
Total COVID-19 Impact			(15)		2		(15)
COVID-19 [Member] | Vacation Ownership
COVID-19 Related Items [Line Items]
Total COVID-19 Impact			(15)		0		(16)
COVID-19 [Member] | Travel and Membership
COVID-19 Related Items [Line Items]
Total COVID-19 Impact			0		0		0
COVID-19 [Member] | Corporate and Other
COVID-19 Related Items [Line Items]
Total COVID-19 Impact			0		2		1
COVID-19 [Member] | COVID-19 related costs
COVID-19 Related Items [Line Items]
COVID-19 related costs			1		2		2
COVID-19 [Member] | COVID-19 related costs | Vacation Ownership
COVID-19 Related Items [Line Items]
COVID-19 related costs			1		0		1
COVID-19 [Member] | COVID-19 related costs | Travel and Membership
COVID-19 Related Items [Line Items]
COVID-19 related costs			0		0		0
COVID-19 [Member] | COVID-19 related costs | Corporate and Other
COVID-19 Related Items [Line Items]
COVID-19 related costs			0		$ 2		1
COVID-19 [Member] | Restructuring [Member] | Restructuring Plan 2020 [Member]
COVID-19 Related Items [Line Items]
Restructuring							(1)
COVID-19 [Member] | Restructuring [Member] | Vacation Ownership | Restructuring Plan 2020 [Member]
COVID-19 Related Items [Line Items]
Restructuring							(1)	14
COVID-19 [Member] | Restructuring [Member] | Travel and Membership | Restructuring Plan 2020 [Member]
COVID-19 Related Items [Line Items]
Restructuring							0
COVID-19 [Member] | Restructuring [Member] | Corporate and Other | Restructuring Plan 2020 [Member]
COVID-19 Related Items [Line Items]
Restructuring							0
COVID-19 [Member] | Vacation ownership interest sales
COVID-19 Related Items [Line Items]
Provision for loan losses			(26)	$ 225			(26)	205	$ (111)
COVID-19 [Member] | Vacation ownership interest sales | Vacation Ownership
COVID-19 Related Items [Line Items]
Provision for loan losses			(26)				(26)
COVID-19 [Member] | Vacation ownership interest sales | Travel and Membership
COVID-19 Related Items [Line Items]
Provision for loan losses			0				0
COVID-19 [Member] | Vacation ownership interest sales | Corporate and Other
COVID-19 Related Items [Line Items]
Provision for loan losses			0				0
COVID-19 [Member] | Cost/(recovery) of vacation ownership interest [Member]
COVID-19 Related Items [Line Items]
Estimated inventory recoveries during the period			10	$ (55)			10	$ (48)	$ 40
COVID-19 [Member] | Cost/(recovery) of vacation ownership interest [Member] | Vacation Ownership
COVID-19 Related Items [Line Items]
Estimated inventory recoveries during the period			10				10
COVID-19 [Member] | Cost/(recovery) of vacation ownership interest [Member] | Travel and Membership
COVID-19 Related Items [Line Items]
Estimated inventory recoveries during the period			0				0
COVID-19 [Member] | Cost/(recovery) of vacation ownership interest [Member] | Corporate and Other
COVID-19 Related Items [Line Items]
Estimated inventory recoveries during the period			$ 0				$ 0

[1] Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

[2] Included in Restructuring on the Condensed Consolidated Statements of Income.

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COVID-19 Related Items Narrative (Details) - USD ($) $ in Millions		3 Months Ended			6 Months Ended			12 Months Ended	21 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Mar. 31, 2020	Jun. 30, 2022		Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2021
COVID-19 Related Items [Line Items]
Provision for loan losses					$ 125		$ 71
Restructuring	[1]	$ 1	$ 0		8	[2]	(1)
COVID-19 [Member]
COVID-19 Related Items [Line Items]
Net Provision impact			(16)				(16)
COVID-19 [Member] | Vacation ownership interest sales
COVID-19 Related Items [Line Items]
Provision for loan losses			(26)	$ 225			(26)	$ 205	$ (111)
COVID-19 [Member] | Cost/(recovery) of vacation ownership interest [Member]
COVID-19 Related Items [Line Items]
Estimated inventory recoveries during the period			10	$ (55)			10	$ (48)	$ 40
Personnel-related
COVID-19 Related Items [Line Items]
Restructuring	[2]				$ 7
Vacation Ownership | COVID-19 [Member] | Vacation ownership interest sales
COVID-19 Related Items [Line Items]
Provision for loan losses			(26)				(26)
Vacation Ownership | COVID-19 [Member] | Cost/(recovery) of vacation ownership interest [Member]
COVID-19 Related Items [Line Items]
Estimated inventory recoveries during the period			10				$ 10
Vacation Ownership | Other Restructuring | COVID-19 [Member]
COVID-19 Related Items [Line Items]
Restructuring			$ 1

[1] Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

[2] Included in Restructuring on the Condensed Consolidated Statements of Income.

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COVID-19 Related Liabilities (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
COVID-19 Related Items [Line Items]
Liability beginning balance			$ 22
COVID-19 related costs	$ 0	$ 1	2	$ 2
Cash payments			(3)
Liability ending balance	24		24
COVID-19 Plan
COVID-19 Related Items [Line Items]
Liability beginning balance			1
COVID-19 related costs			2
Cash payments			(2)
Liability ending balance	1		1
Personnel-related
COVID-19 Related Items [Line Items]
Liability beginning balance			0
Cash payments			(1)
Liability ending balance	3		3
Personnel-related | COVID-19 Plan
COVID-19 Related Items [Line Items]
Liability beginning balance			1
COVID-19 related costs			2
Cash payments			(2)
Liability ending balance	$ 1		$ 1

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Restructuring (Narrative) (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended			12 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022		Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2021
COVID-19 Related Items [Line Items]
Restructuring charges	[1]	$ 1	$ 0	$ 8	[2]	$ (1)
Stock-based compensation		12	$ 9	24		16
Cash payments				(3)
Restructuring liability		24		24				$ 22
Personnel-related
COVID-19 Related Items [Line Items]
Restructuring charges	[2]			7
Cash payments				(1)
Restructuring liability		3		3				0
Facility related
COVID-19 Related Items [Line Items]
Restructuring charges	[2]			1
Cash payments				(2)
Restructuring liability		21		21				22
Restructuring Plan 2022
COVID-19 Related Items [Line Items]
Restructuring charges		1		8
Cash payments				(1)
Restructuring liability		4		4
Restructuring Plan 2022 | Travel and Membership | Personnel-related
COVID-19 Related Items [Line Items]
Restructuring charges				6
Restructuring Plan 2022 | Vacation Ownership | Personnel and facility
COVID-19 Related Items [Line Items]
Restructuring charges				1
Restructuring Plan 2022 | Corporate and Other | Personnel-related
COVID-19 Related Items [Line Items]
Restructuring charges				1
Restructuring Plan 2020 [Member]
COVID-19 Related Items [Line Items]
Restructuring charges							$ 37
Cash payments				(2)
Restructuring liability								$ 22
Restructuring Plan 2020 [Member] | Facility related
COVID-19 Related Items [Line Items]
Restructuring liability		$ 20		20
Restructuring Plan 2020 [Member] | Travel and Membership | Facility related | COVID-19 [Member]
COVID-19 Related Items [Line Items]
Restructuring charges							22
Restructuring Charges
COVID-19 Related Items [Line Items]
Stock-based compensation				$ 3
Restructuring [Member] | Restructuring Plan 2020 [Member] | COVID-19 [Member]
COVID-19 Related Items [Line Items]
Restructuring charges						(1)
Restructuring [Member] | Restructuring Plan 2020 [Member] | Travel and Membership | COVID-19 [Member]
COVID-19 Related Items [Line Items]
Restructuring charges						0
Restructuring [Member] | Restructuring Plan 2020 [Member] | Vacation Ownership | COVID-19 [Member]
COVID-19 Related Items [Line Items]
Restructuring charges						(1)	$ 14
Restructuring [Member] | Restructuring Plan 2020 [Member] | Corporate and Other | COVID-19 [Member]
COVID-19 Related Items [Line Items]
Restructuring charges						$ 0

[1] Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

[2] Included in Restructuring on the Condensed Consolidated Statements of Income.

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Restructuring (Activity Related To The Restructuring Costs) (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022		Jun. 30, 2021
Restructuring Cost and Reserve [Roll Forward]
Liability beginning balance				$ 22
Restructuring	[1]	$ 1	$ 0	8	[2]	$ (1)
Cash Payments				(3)
Other				(3)
Liability ending balance		24		24
Stock-based compensation		12	$ 9	24		$ 16
Restructuring Charges
Restructuring Cost and Reserve [Roll Forward]
Stock-based compensation				3
Facility related
Restructuring Cost and Reserve [Roll Forward]
Liability beginning balance				22
Restructuring	[2]			1
Cash Payments				(2)
Other				0
Liability ending balance		21		21
Personnel-related
Restructuring Cost and Reserve [Roll Forward]
Liability beginning balance				0
Restructuring	[2]			7
Cash Payments				(1)
Other	[3]			(3)
Liability ending balance		$ 3		$ 3

[1] Includes $3 million of stock-based compensation expense for the six months ended June 30, 2022 associated with the 2022 restructuring.

[2] Included in Restructuring on the Condensed Consolidated Statements of Income.

[3] Represents $3 million of accelerated stock-based compensation expense for the six months ended June 30, 2022, included in Additional paid-in capital on the Condensed Consolidated Balance Sheets.

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Transactions with Former Parent and Former Subsidiaries (Narrative) (Details) £ in Millions, $ in Millions	3 Months Ended	6 Months Ended	12 Months Ended
	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)	Jun. 30, 2022 GBP (£)	Dec. 31, 2021 GBP (£)	Dec. 31, 2020 GBP (£)	Dec. 31, 2019 USD ($)	Dec. 31, 2019 GBP (£)
British Travel Association and Regulatory Authorities
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Secured bonding facility and perpetual guarantee		$ 46
Guarantee, fair value		22
Sale Of European Vacation Rental Business | Financial Guarantee | British Travel Association and Regulatory Authorities
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Secured bonding facility and perpetual guarantee | £						£ 58
Sale Of European Vacation Rental Business | Letter of Credit [Member] | British Travel Association and Regulatory Authorities
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Secured bonding facility and perpetual guarantee | £						£ 36
Accrued Expenses and Other Liabilities | Sale Of European Vacation Rental Business | European vacation rentals business
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Guarantee, fair value		$ 90
Wyndham Hotels And Resorts, Inc. [Member] | Sale Of European Vacation Rental Business | Financial Guarantee | Awaze Limited [Member]
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Post-closing Credit Support, Portion of Escrow Received Upon Release		0.33		0.33
Affiliated Entity
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Responsible liability for separation agreement		37.50%
Contingent and other corporate liabilities retained		0.25		0.25
Separation and Distribution Agreement, Portion of Certain Contingent and Other Corporate Liabilities Assumed		0.67		0.67
Separation and Distribution Agreement, Portion of Proceeds From Contingent and Other Corporate Assets		0.67		0.67
Post-closing Credit Support, Portion of Escrow Received Upon Release		0.67		0.67
Post-closing Credit Support, Portion of Guarantees Assumed		0.67		0.67
Affiliated Entity | Sale Of European Vacation Rental Business | Financial Guarantee | British Travel Association and Regulatory Authorities
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Secured bonding facility and perpetual guarantee		$ 81		£ 61
Guarantee, fair value		39		£ 32
Affiliated Entity | Sale Of European Vacation Rental Business | Financial Guarantee | Awaze Limited [Member]
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Secured bonding facility and perpetual guarantee							$ 44	£ 35
Liability for Unpaid Claims and Claims Adjustment Expense, Adjustments			$ 7		£ 5
Affiliated Entity | Sale Of European Vacation Rental Business | Indemnification Agreement
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Guarantee, fair value		42
Affiliated Entity | Sale Of North American Vacation Rental Business [Member] | Indemnification Agreement
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Guarantee, fair value		2
Affiliated Entity | General and Administrative Expense [Member] | Sale Of North American Vacation Rental Business [Member]
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Related Party Transaction, Expenses from Transactions with Related Party	$ 1
Affiliated Entity | Other Revenue [Member] | Sale Of North American Vacation Rental Business [Member]
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Revenue from Related Parties	$ 1
Affiliated Entity | Cendant | Accrued Expenses and Other Liabilities
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Liabilities assumed		$ 14	$ 13
Affiliated Entity | Realogy
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Responsible liability for separation agreement		62.50%
Affiliated Entity | Wyndham Hotels And Resorts, Inc. [Member]
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Contingent and other corporate liabilities retained		0.33		0.33
Separation and Distribution Agreement, Portion of Certain Contingent and Other Corporate Liabilities Assumed		0.33		0.33
Separation and Distribution Agreement, Portion of Proceeds From Contingent and Other Corporate Assets		0.33		0.33
Post-closing Credit Support, Portion of Escrow Received Upon Release		0.33		0.33
Wyndham Hotels And Resorts, Inc. [Member]
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Receivable from related party		$ 7
Wyndham Hotels And Resorts, Inc. [Member] | Sale Of European Vacation Rental Business | Indemnification Agreement
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Receivable from related party		14
Wyndham Hotels And Resorts, Inc. [Member] | Other assets | Sale Of European Vacation Rental Business
Separation Adjustments And Transactions With Former Parent And Subsidiaries [Line Items]
Receivable from related party		$ 21

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Related Party Transactions Related Party Transactions (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Former Officer [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	$ 47	$ 45

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Subsequent Events (Details) - Subsequent Event [Member] - Sierra Timeshare 2022-2 $ in Millions	Jul. 21, 2022 USD ($)
Subsequent Event [Line Items]
Debt instrument, face amount	$ 275
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate	5.70%
Debt Instrument, Advance Rate	90.50%